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YouTube Creators Set to Become Billionaires; Hundreds Turn Out For Funeral of Russian Journalist; No Confirmation of North Korean Nuclear Test
Aired October 10, 2006 - 15:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
DON LEMON, CNN ANCHOR: More fallout and compelling new theories, all surrounding what may or may not have happened yesterday morning far below a North Korean mountain range.
Our senior Pentagon correspondent, Jamie McIntyre, has the latest on the Pentagon's -- alleged nuclear test.
JAMIE MCINTYRE, CNN SENIOR PENTAGON CORRESPONDENT: Well, Don, U.S. government officials are still trying to puzzle out exactly what North Korea has done.
But let me tell you the thinking today. A U.S. government official does confirm to CNN that North Korea informed China before the test that they would be conducting a test in the 4 kiloton range. But the U.S. intelligence stands by its estimate that the actual yield from the test was far less, about a half-a-kiloton, or perhaps even less, according to one government official.
What does that tell you? Well, as one official told CNN, the prevailing belief in the U.S. government is that they attempted a larger test, but something went wrong. Now, that said, the U.S. has still not officially confirmed that this was, in fact, a nuclear event.
They have not ruled out the possibility that North Korea could have exploded a large amount of conventional explosives. But that is not the prevailing view. Of course, a key indicator would be the release of any radioactivity from the test site. That is something that has not yet been detected. But, again, officials have cautioned, it may take a day or two, or even three, to analyze that data and be able to put the pieces together.
Right now, the working assumption is that North Korea did attempt a nuclear test, although not a very successful one, attempting to set something off in the 4 kiloton range, and resulting in a very much smaller explosion. But, again, it's going to take a couple of days for the U.S. government to come to a complete position on this -- Don.
LEMON: All right, Jamie.
The Bush administration isn't waiting for confirmation. It's pushing for tough sanctions at the U.N. today.
CNN's Richard Roth is there live -- Richard.
RICHARD ROTH, CNN SENIOR U.N. CORRESPONDENT: Yes, Don.
The United Nations Security Council's big powers, the big five, are going to meet privately, along with Japan, about North Korea in a matter of moments, the second round of talks today on a resolution. There won't be a vote a today, but this resolution is loaded with tough sanctions against North Korea, including various financial asset freezes, arms, embargoes, the stoppage of goods going in or out of the country for inspections.
The Chinese, though, will need to be convinced by the United States to go along. John Bolton, Washington's ambassador here, had what he called a good private talk with the Chinese ambassador, who still wants a cautious approach.
(BEGIN VIDEO CLIP)
WANG GUANGYA, CHINESE AMBASSADOR TO THE UNITED NATIONS: ... for China, as I said earlier, that we need to have a firm, constructive, appropriate, but prudent, responses to North Korea's nuclear test.
QUESTION: What is the latest...
(CROSSTALK)
QUESTION: ... to the U.S. draft, what is your response?
GUANGYA: I think, actually, there has to be some punitive actions, but just, also, I think that these actions have to be appropriate. So, we will discuss with others.
(CROSSTALK)
QUESTION: What would be appropriate?
GUANGYA: It is punitive. I think that implies something.
Thank you.
(END VIDEO CLIP)
ROTH: France's ambassador said very, very hard, complex negotiations ahead on this resolution -- some countries, of course, concerned on any impact on the people of North Korea, and not the leadership, if you're going to make -- impose sanctions on North Korea.
What about the representative from North Korea? He has been moving between his offices and the confines of the U.N. today. He says sanctions should not be applied against his country.
(BEGIN VIDEO CLIP)
PAK GIL YON, NORTH KOREAN AMBASSADOR TO UNITED NATIONS: And, anyway, sanctions will not solve the problems at all. This is my view.
QUESTION: So, you are not going to accept any sanctions?
PAK: No, I said sanctions will not solve the problems at all.
(END VIDEO CLIP)
ROTH: And, in some cases, sanctions have worked in the United Nations system and haven't in the past -- Don, back to you.
LEMON: Richard, what about that resolution? Any word on when it will be adopted?
ROTH: The British are hoping for later this week.
But, because so many diplomats are starting to talk about the complex nature, I would be surprised if it is agreed to by Friday. But I have been wrong before, but don't bring it up again.
(LAUGHTER)
LEMON: Richard Roth. You could smile when you said that. You don't have to be so deadpan.
He's not smiling.
PHILLIPS: No.
(LAUGHTER)
LEMON: Thank you very much, from...
(CROSSTALK)
PHILLIPS: That's Richard Roth, and his dry wit.
(LAUGHTER)
PHILLIPS: You have to appreciate that in Richard.
(LAUGHTER)
PHILLIPS: Well, John McCain blames Bill Clinton for the current predicament with Pyongyang. The Republican senator says that Mr. Clinton didn't do enough to make North Korea scrap its nuclear program in the '90s. He says the 1994 agreement was a failure.
(BEGIN VIDEO CLIP)
SEN. JOHN MCCAIN (R), ARIZONA: Prior to the agreement, every single time the Clinton administration warned the Koreans not to do something, not to kick out the IAEA inspectors, not to remove the fuel rods from their reactor, they did it. And they were rewarded every single time by the Clinton administration with further talks.
(END VIDEO CLIP)
PHILLIPS: McCain spoke outside Detroit at a campaign stop for a GOP Senate candidate. He wants tough U.N. sanctions against North Korea.
Now, this note: Wolf Blitzer will sit down with Secretary of State Condoleezza Rice in "THE SITUATION ROOM," 7:00 p.m. Eastern time.
LEMON: Up in arms over guns in school, guns and deadly attacks by students -- President Bush led a blue-ribbon school safety conference in Maryland today, after three deadly school attacks in just two weeks.
The secretary of education and the U.S. attorney general discussed ways to prevent violence. And Mr. Bush framed the issue.
(BEGIN VIDEO CLIP)
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: All of us in this country want our classrooms to be gentle places of learning, places where people not only learn the basics -- basic skills necessary to become productive citizens -- but learn to relate to one another.
And our parents, I know, want to be able to send their child or children to schools that are safe places.
(END VIDEO CLIP)
LEMON: And among today's speakers is a survivor of the 1999 rampage at Columbine High in Colorado.
PHILLIPS: Well, a new take on the Mark Foley scandal from one of Foley's former Republican colleagues and a former congressional page whom Foley allegedly approached is talking to the feds.
CNN congressional correspondent Andrea Koppel has the details now -- Andrea.
ANDREA KOPPEL, CNN CONGRESSIONAL CORRESPONDENT: Kyra, for the first time, we all got a chance to see one of those pages who exchanged -- allegedly -- these sexually explicit instant messages with Mark Foley.
His name is Jordan Edmund. There, you see him standing just to the left of his attorney. Edmund had nothing to say, but his attorney, Stephen Jones, did.
(BEGIN VIDEO CLIP)
STEPHEN JONES, ATTORNEY FOR JORDAN EDMUND: Our client has completed, who stands to my right, approximately a two-and-a-half-hour interview with special agents of the Federal Bureau of Investigation who are assigned to investigate this matter. Jordan answered all of their questions, relying upon his memory, as it exists. He was not served with any subpoenas to appear before any grand jury. He was not asked to return.
(END VIDEO CLIP) KOPPEL: Now, Jones also said that his client was -- or that he was contacted by the House Ethics Committee, which, as you know, Kyra, is undergoing its own investigation right now.
He said he was going to be talking to them later. Presumably, they are going to want to talk to Mr. Edmunds -- Kyra.
PHILLIPS: Well, we also heard today from another congressman tangled up in all of this, Representative Jim Kolbe.
KOPPEL: That's right.
Congressman Kolbe, Republican from Arizona, is now confirming that a former page contacted his office sort of on or around 2000, to talk about an e-mail exchange that he had had with Foley that made him, in Kolbe's words, uncomfortable.
He said there was only one instance, to his knowledge, that he was contacted by this -- by this former page. He said he assumes that it was taken care of.
But what makes this significant, Kyra, is that this is now the first time that we are confirming on the record that there were e-mail exchanges that were questionable between Congressman Foley and a former page.
There is also another development today. We know that the former chief of staff to Mark Foley is going to be testifying. He's scheduled to testify before the House Ethics Committee on Thursday. And we know, Kyra, that he is alleging that he told some senior staffers in Dennis Hastert's office about this, dating back three years ago -- Kyra.
PHILLIPS: Congressional correspondent Andrea Koppel -- thanks, Andrea.
LEMON: No resignation, but no blanket protections for the staff -- so spoke House Speaker Dennis Hastert today at home in Illinois.
Hastert told reporters he is still not quitting, and he still believes his office did the right thing in the Foley matter.
But, if someone didn't:
(BEGIN VIDEO CLIP)
REP. DENNIS HASTERT (R-IL), SPEAKER OF THE HOUSE: We have investigations going. We have the Ethics Committee doing an investigation. We have the U.S. attorney general or the -- and the FBI doing an investigation. And, on Foley, we have the state of Florida doing an investigation.
If anybody is found to have hidden information or covered up information, they really should be gone.
Well, in 20/20 hindsight, probably, you could do everything a little bit better. But if there is a problem, if there was a cover- up, then, we should find that out through the investigation process. They will be under oath, and we will -- we will find out. If they did cover something up, then, they should not continue their -- to have their jobs.
(END VIDEO CLIP)
LEMON: A new CNN poll shows 52 percent of Americans think Hastert should quit.
Another dip in President Bush's approval rating. It hovers in the 30s. That's according to four polls conducted over the weekend. It's at 39 percent in the CNN and ABC/"Washington Post" surveys. "USA Today"/Gallup puts it at 37 percent, and CBS/"New York Times" at 34 percent.
The average of all the polls is 37 percent, down from 42 percent in three polls just before the Foley scandal.
PHILLIPS: Well, most of the videos are homemade. And most of the viewership is modest, though some is monumental.
(LAUGHTER)
PHILLIPS: Now the creators of Web site YouTube are about to make a mint. Their stunning deal with Google is the talk of the NEWSROOM -- straight ahead.
LEMON: And this guy is always the talk. He is a top-shelf player...
(LAUGHTER)
LEMON: ... from the real estate game, and now to the vodka business. So, what are Donald Trump's secrets for success? The Donald and his millionaire co-author both join us next in the next hour in the NEWSROOM.
PHILLIPS: Roll it, Otis (ph).
LEMON: In this hour in the NEWSROOM.
(COMMERCIAL BREAK)
PHILLIPS: Let's get straight to Jacqui Jeras, tracking severe weather for us.
Where is this tornado warning popping up, Jacqui?
JACQUI JERAS, CNN METEOROLOGIST: Well, it's Galveston and Brazoria counties right now. This is south of the Houston area. We have been showing you the severe thunderstorms that have been rumbling through Houston, moved to the east side of town. Now they're moving to the south and the east.
This is the area of concern right in here -- so, a possible tornado. The towns certainly need to be on alert here. League City is just to your south. And it's pushing to the south and east. We think Galveston is going to be getting missed. And, then, this eventually is going to moving open -- over the open water.
So, Brazoria counties and also Galveston counties under a tornado warning -- need to taking shelter right now -- a tornado watch in effect for all of the Houston metro area, much of southeastern Texas, through the rest of the afternoon.
PHILLIPS: All right, we will stay on top of it. Thanks, Jacqui.
JERAS: Mmm-hmm.
PHILLIPS: Well, millions of immigrants living here hunger for their homelands.
And, apparently, they thirst for it, too.
Susan Lisovicz joins us live from the New York Stock Exchange to tell us about the new -- brewers' new import strategy. What is going on with that?
SUSAN LISOVICZ, CNN CORRESPONDENT: Well, there has been a lot of consolidation in the beer business, like so many other industries. And that is an advantage in this case, Kyra.
Miller Brewing will start importing several beers made by its parent company, SABMiller. The plan is to sell these brews in communities of international residents living throughout the country.
SABMiller now has brewing interests in more than 60 countries and distributes more than 150 beers. It will begin with a new plan -- its new plan -- with Aguila, Colombia's most popular beer. Starting in January, that beer will be available to the estimated two million Colombians living in the U.S.
Miller also plans to bring in two beers from Peru, Cristal and Cusquena, and focus sales on the large South American populations in Florida and New York.
And the company will expand distribution of Poland's best-selling beer, Tyskie, targeting Polish-Americans living around Chicago and New York. I had to check with my Polish peeps on the pronunciation...
(LAUGHTER)
LISOVICZ: ... of that last one.
I used to take Polish lessons. And it -- it has completely failed me today.
PHILLIPS: Really? You took Polish lessons?
LISOVICZ: I did.
PHILLIPS: Is this in the family tree, or... LISOVICZ: Oh, absolutely, yes. Lisovicz.
PHILLIPS: All right.
LISOVICZ: Mmm-hmm.
PHILLIPS: Outstanding.
LISOVICZ: Mmm-hmm.
PHILLIPS: OK. We will talk more about that later.
All right. Well, you say that SAB distributes, what, 150 beers?
LISOVICZ: Yes.
PHILLIPS: So, is this the start of something big? Did you ask your peeps that, too?
(LAUGHTER)
LISOVICZ: They actually weren't familiar with that one. They have been in the states too long, I think.
But it is possible, in terms of what Miller may be doing, because there is growing demand for imported and craft beers. Imported beer, in fact, accounted for more than 12 percent of all beer sales last year. And Miller is not the only one jumping on this trend. The country's biggest brewer, Anheuser-Busch, is also considering expanding its international partnership.
SABMiller is based in London and South Africa. It doesn't trade here. But shares of Anheuser-Busch -- the ticker symbol is B-U-D, as in Bud -- are gaining right now, nearly 2 percent.
Unfortunately, the market is flat, unlike the beer -- Dow industrials down right now four points. They hit a new intraday high earlier in the session, when they were on the plus side. Nasdaq composite is down just one point.
And that is the latest from Wall Street -- back to Kyra and Don.
PHILLIPS: Thanks so much, Susan.
All right, Don, it's the other story we have been talking about.
LEMON: Oh, my gosh.
PHILLIPS: YouTube. I know Susan is watching, too.
LEMON: This has everything to do with business. Most of their videos, Kyra, homemade, and most of the viewership is modest, though some is monumental.
Now the creators of the Web site YouTube -- there it is right there -- they are about to make a mint. Their stunning deal with Google is the talk of the NEWSROOM -- next.
(COMMERCIAL BREAK)
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: Welcome to another exciting Viral Video News. We are here today, ready to kick it off with our -- our drink. I got a six-pack. We're going to do the six-pack here in five minutes.
(END VIDEO CLIP)
LEMON: Can you imagine being able to do that in news? Boy, does it pay to have a good idea.
Just ask Chad Hurley and Steve Chen. Their idea is about to make them billionaires. YouTube, a media phenomenon, that is all of 20 months old is about to go acquired by Google for -- get this -- $1.65 billion in stock.
And here to talk about it is Blaise Zerega. He's formerly with "Wired" magazine, now managing editor of Conde Nast Portfolio.
Can you -- first of all, can you believe this?
BLAISE ZEREGA, MANAGING EDITOR, CONDE NAST PORTFOLIO: I certainly can, Don; $1.65 billion is a heck of a lot of money, indeed, but let's not forget that, in 1999, Yahoo! paid $5 billion for Broadcast.com.
LEMON: Yes. And you know what? People say, you know, if you known about Yahoo!, if you had known about Amazon, if you had known about another -- a number of other successful Web sites back then, who hadn't turned a profit -- by the way, YouTube has not turned a profit -- most analysts say, boy, you have bought them, too.
ZEREGA: Oh, certainly, you would have.
I mean, this is a seminal event. This is a turning point in where the Web has gone and where it's going. Until now, the Web has basically been a read-only medium, meaning, you would watch it, you would read it. It is now becoming a read-write medium, meaning people who go to Web sites can own the content, can play the content, can upload their own content, pass it on, share it, and so forth.
LEMON: Yes.
You know what? Let's take a look at it, because these guys, as we were saying, can you believe this? Obviously, these guy -- these guys were really, really happy with the announcement. And they're not a traditional company.
Let's look at what they had to say. And they posted it on YouTube. Obviously, you're looking at some of the information there.
(BEGIN VIDEO CLIP)
CHAD HURLEY, CO-FOUNDER, YOUTUBE: ... YouTube. This is Chad and Steve. We're the co-founders of the site.
And we just want to say thank you. Today, we have some exciting news for you. We have been acquired by Google.
STEVE CHEN, CO-FOUNDER, YOUTUBE: Yes, thanks. Thanks to every one of you guys that have been contributing to YouTube, the community. We would -- we wouldn't be anywhere...
(END VIDEO CLIP)
LEMON: And there -- Blaise, you can see, this is really, really a non-traditional company. Obviously, it's not the -- the same old CEO memo...
ZEREGA: No.
LEMON: ... or -- or broadcast that is sent out interoffice.
Here is what I'm wondering. If they're taken over by such a huge company like Google...
ZEREGA: Uh-huh? Yes.
LEMON: ... does that mean they have sold out? Are things going to change? Is it not going to be a free-for-all, as it is...
(CROSSTALK)
ZEREGA: No.
I -- I think that Google plans to keep YouTube an independent site, independent -- independent brand. So, that's not going to change. And Google is not your ordinary big media company. They are small -- I mean, they're not small anymore. I take that back.
LEMON: Yes.
ZEREGA: They -- they think of themselves as small.
LEMON: Yes, they're really not small.
ZEREGA: But they're scrappy. They're innovative.
If anyone can get and understand and help nurture the culture and community that YouTube has created, it's Google.
LEMON: And pretty non-traditional stuff.
I mean, let's look at some of the video, put some of the video up here, just things that you can really...
ZEREGA: Yes.
LEMON: ... put on, get on to this Web site, very quickly.
This one, I think, is called Mr. Pregnant, or what have you, but unusual.
ZEREGA: OK.
LEMON: And these things go up. You just post it right to the Web site, and it goes up within a matter of seconds.
ZEREGA: Yes.
And -- and, Don, this is a -- an example of all these various technologies coming online to -- to make a new experience.
And what's important about, you know, eBaum's World or Mr. Pregnant, or even Chad and Steve's announcements, is that people then post responses to it. So, there's -- I think there's tens of thousands of new videos that have been added to the site in response to Steve and Chad's message...
LEMON: So, you know what I want to ask you, though...
ZEREGA: ... people congratulating them.
Yes.
LEMON: ... who is watching the gate with all of this video? Because you get all this video. This video comes out. And, then, like I said, within a matter of seconds, you could post it right on the Web site.
ZEREGA: Certainly.
LEMON: Someone in our newsroom posted something. Here is the payoff for parents, or people who may be watching.
Someone in our newsroom posted something of their grandkid or their child. And, in moments, there it was on the Web site.
What is -- what is the payoff for all of this?
ZEREGA: The -- the -- the payoff for Google or for users? It's a...
LEMON: For users.
ZEREGA: Oh, you know, it's a chance to participate.
Again, this is not a medium where you sit passively and watch America's funniest home videos on -- you know, on your TV. Instead, you have the opportunity to post and comment your own videos.
LEMON: Oh. All right. Well...
ZEREGA: So -- and -- and, so, basically, now, YouTube is delivering a very engaged audience to Google, 100 million videos served a day. It's like McDonald's.
LEMON: You know what? There is -- yes, there are some serious issues involved in all this...
ZEREGA: Oh. Oh. The...
(CROSSTALK)
LEMON: ... because a lot of folks are saying that Google is just basically taking on a bunch of lawsuits that are going to come, because they are using all this video...
(CROSSTALK)
LEMON: ... that they don't have a license for.
ZEREGA: In -- in the short term, there are some risks, absolutely, Don.
The -- the hurdles are basically involving the use of copyrighted material, of users taking content that they don't have the rights to, and posting it on YouTube, which is then, you know, shared and -- and rebroadcast across the Web.
LEMON: Yes.
ZEREGA: However, this is not 1996. This is now 2006.
And, unlike, back with Napster and illegal music, file-sharing, so on, people understand. I mean, there has been something called iTunes. So, record labels, movie studios, they understand that it's better to partner with a company like YouTube or Google, and embrace the technology, instead of trying to run away from it, and -- and launch lawsuits.
I mean, I think it would be a disaster for Hollywood or the record labels right now to turn around and start suing people who are posting content to YouTube.
Why? It -- it's just bad -- it's bad P.R. And -- and they should, instead, strike partnerships, and work out licensing arrangements with YouTube.
And, in fact, Universal has already done that. Universal was a studio that was contemplating a lawsuit quite publicly. And they have struck an arrangement with YouTube. And it appears it will go away.
There's other possibilities, obviously, other possible lawsuits.
LEMON: Yes.
(CROSSTALK)
ZEREGA: But I -- I think time will tell on this one.
LEMON: Time will tell on this one.
Well, Blaise, you know, every -- everything from "The Daily Show" to news clips, to graphics, to people getting their movies up there. Do you spend much time on YouTube?
ZEREGA: Do I confess to be a registered user? Yes.
(LAUGHTER)
LEMON: And I walk by a lot of folks' desk right here in the newsroom, and I see people looking at YouTube, as are millions of Americans and millions of people around the world.
Blaise Zerega, thank you so much for joining us today in the CNN NEWSROOM.
ZEREGA: Thanks, Don.
PHILLIPS: Straight ahead: fiery protests of the nuclear standoff with North Korea -- South Koreans up in arms over their neighbor's alleged nuke test -- straight ahead from the CNN NEWSROOM, reaction from Seoul, Beijing, Tokyo, and beyond.
(COMMERCIAL BREAK)
PHILLIPS: Well, for many in Russia, she was the bravest of the brave. And many believe that bravery cost her, her life.
Today, hundreds of people turned out for the funeral of this prominent investigative journalist, ordinary Russians, fellow journalists, Western diplomats. Noticeably absent were high-ranking figures in government. Interesting.
CNN's Matthew Chance has our report.
(BEGIN VIDEOTAPE)
MATTHEW CHANCE, CNN CORRESPONDENT (voice-over): She was one of Russia's most outspoken journalists, a fierce critic of the Kremlin, and a tireless campaigner for human rights.
Through her reporting, Anna Politkovskaya touched the hearts of many. Hundreds gathered to pay their respects.
For years, Anna risked her life covering Russia's war in Chechnya. She was killed in her Moscow apartment building, shot four times at close range. Security cameras recorded a few glimpses of the man police say may have been the killer. But few believe he was anything more than a hired gun. This had all the hallmarks of a contract killing.
She is hardly the first Russian journalist murdered for her work. The country has an appalling record of protecting its reporters. Advocates for a free press say those who exposed corruption or, like Anna, investigate a abuses of power are most at risk.
OLEG PANFILOV, FREE PRESS ADVOCATE: (SPEAKING IN RUSSIAN)
UNIDENTIFIED MALE (through translator): Since 1994, not one murder of a journalist killed for their profession has been solved. I think it's because most of those crimes were initiated by members of the ruling establishment. I doubt we'll ever find out who ordered the murders of any of them.
CHANCE: At the offices of the "Novaya Gazeta," the Russian language newspaper where Anna worked, staff are regrouping after her murder. The paper's editor says Anna is the third reporter he's lost to assassins in six years.
UNIDENTIFIED MALE: (SPEAKING IN RUSSIAN)
CHANCE: Russia has a shrinking democracy, he told me, and that poses a real danger to people's lives, especially those involved in investigative reporting. If only Russia had independent courts or a law enforcement system that wasn't so corrupt, it could make all the difference, he says.
But Russia, today, has neither. And now it has one less voice of conscience as well. Anna Politkovskaya was a woman of enormous courage, brave enough to write about few others in Russia were dare touch. In a country where the free press is under constant threat, a leading, independent voice has been silenced.
Matthew Chance, CNN, Moscow.
(END VIDEOTAPE)
LEMON: The U.S. won't talk to North Korea directly, but the rest of the world will. So says Condoleezza Rice. The secretary of state talked to CNN's Wolf Blitzer this afternoon, warning Pyongyang's nuclear programming is running out of time.
(BEGIN VIDEO CLIP)
CONDOLEEZZA RICE, SECRETARY OF STATE: I think North Korea has been persistent and has been consistent in pursuing this nuclear weapons program for decades. Now it's going to have to be stopped, and the international community is speaking with one voice very loudly, because the North Koreans crossed an important line when they proclaimed that they had conducted nuclear test.
WOLF BLITZER, CNN ANCHOR: Did they conduct a nuclear test?
RICE: Well, we're trying to still evaluate what really happened here and I think we will take a little while to evaluate it, but we have to take the claim seriously.
(END VIDEO CLIP)
LEMON: You can watch Wolf's full interview with Secretary Rice tonight at 7:00 Eastern only on CNN.
For South Koreans a nuclear standoff goes beyond politics. They're taking it personally. Some are condemning their neighbors to the north. Others are reaching out.
Sohn Jie-Ae is in Seoul. (BEGIN VIDEOTAPE)
SOHN JIE-AE, CNN CORRESPONDENT: Emotions are running high. "Down with Kim Jong-Il!" shouts this conservative group as they set fire to the North Korean flag and pictures of the country's leader. Moments later, police move in.
The older generation, the ones that lived through the Korean War, often take a harder line.
"My hometown is in North Korea, so I know them well," says this man. "The North Koreans are not going to listen to us. They listen to no one."
Young South Koreans often have broader horizons, they have more practical concerns. "I'm worried this will bring down our economy," says this young man. "It's already hard to find good jobs."
In the streets and on the air waves, the talk is all North Korea. At KBS24 radio news channel today, North Korea is the subject of almost all of the programs, and the news of the nuclear test is providing fertile soil for some heated discussion.
UNIDENTIFIED FEMALE: (SPEAKING IN KOREAN)
JIE-AE: Radio show host Esther Park gets her daily current affairs program under way. Once again, she says, the Korean peninsula is in crisis. Park has invited guests with widely differing views onto the show.
"North Korea is like a burglar with a knife at our throats," says this conservative lawmaker. "We must not give in," she says. She wants all aid and even business ties cut.
But a left wing lawmaker says it's more important than ever to maintain South-North ties. And in the view of this former minister, there is now a better chance for dialogue between North Korea and the United States, because, he says, Washington will be forced to talk with Pyongyang.
Park says she's getting more than the usual number of calls from people whose views are very strong and far apart. But a common thread emerges on Internet surveys. About two-thirds of South Koreans polled say the nuclear tests will pose a serious danger to the country's future.
Sohn Jie-Ae, CNN, Seoul.
(END VIDEOTAPE)
LEMON: All right.
Coming up, he is a top-shelf player from the real estate game -- there you go, crank it up, Otis -- from the real estate game.
PHILLIPS: I know Robert and Don will love this song. It's one of their favorites. As a matter of fact, I think Trump and Kiyosaki both have this song on their iPod, isn't that right, guys?
LEMON: And look at the neck ties, it's like Christmas!
PHILLIPS: I don't know. The player on the suit is Kiyosaki. I'm telling you. We're going to interview them both coming up.
(MUSIC)
(COMMERCIAL BREAK)
LEMON: Oh boy, here we go.
One of them's famous for his deals and his wives, the other for his rich dad and poor dad. But both are very wealthy.
PHILLIPS: And they want you to be, too. Donald Trump and Robert Kiyosaki have partnered a new book entitled, "Why We Want You to Be Rich". Two men, one message. They join us now live from New York. And of course, Donald Trump and Robert Kiyosaki already telling us the book has gone to number one. We were hoping that we would take it there after this interview. But it must have been Larry King last night, is that right?
DONALD TRUMP, CO-AUTHOR, "WHY WE WANT YOU TO BE RICH": Well, Larry gave a great interview, and he's a very talented guy, and he's a friend of mine.
LEMON: And you gave a great interview last night, too, on Larry King.
And we have to talk about it because it's just in the news, and then we'll move it. Mark Foley, you knew him, he hung out a little bit at Marl Lago (ph). What do you have to say about the whole thing that's going on, Mr. Trump?
TRUMP: Well, he was at Marl Lago a lot. He would come as the guest of various people that took tables to charities. I got to know him a little bit at Marl Lago. And I said it on "LARRY KING", I mean, everybody knew Mark was gay, or it seemed that they knew he was gay, and that's fine. He'd always show up, however, with a very beautiful woman, always had this incredibly beautiful woman. Of course, I'm happily married, so it didn't have any impact on me, but there were a lot of people who would say, wow, that's really something. But Mark was at Marl Lago quite a bit, always with a beautiful woman, so it was obviously a facade.
LEMON: But you said it was painful to watch. You said that?
PHILLIPS: Yes. He was checking out all the beautiful women and he knew that nothing was going to happen with Mark Foley.
TRUMP: Well, painful from my standpoint is what I meant.
LEMON: Yes, that's what you said.
TRUMP: I think that's what we're talking about.
LEMON: Yes.
PHILLIPS: Robert, let me ask you about the book. You know, when you have so much money, you can buy anything, you can do anything. How do you keep from getting bored.
ROBERT KIYOSAKI, CO-AUTHOR, "WHY WE WANT YOU TO BE RICH": I think that's what we say, is that you have to do what you love. I mean, we both could retire, but we love what we do. But I think the reason we got together for the book is because we are concerned about this growing gap between the rich and everybody else and we don't think that's good for our society. So that's why we got together. And it gives us something to do at least.
LEMON: Yes. We were just talking about that. We were actually surprised, in a nice way, by the practicality of the book, almost like a study guide. And you said you have to love what you do. I guess, case in point, the two youngsters from YouTube, you know, now billionaires, Mr. Trump. They're up there in your league.
TRUMP: Well, that's right. And they -- I give them all the credit in the world. They love what they did and they love what they do and they've done really well. And who knows what it's going to be worth tomorrow? Maybe it's going to be worth nothing tomorrow. You know, I like real estate because with real estate you sort of have something that's tangible. But I give great credit to those two young guys. It's fantastic.
LEMON: Luck or smarts on their part?
TRUMP: Oh, it's smarts, it's smarts. You know, you take advantage of the luck. But basically, they came up with a concept, somebody was willing to give them a lot of money, and I give them total credit.
PHILLIPS: All right, so here's two guys, you know, that were hanging out in their garage. They're smart, but they were really just -- I don't think they had any idea what they were about to land on. Now, you two gentlemen have always been focused, concentrated on what you want. You've made it big. You continue to make it big. You're always coming up with new ideas in enterprising. Very much what we have to do in this business to make it in our position.
So my question is, I looked at both of what you had to say about the military. And Donald, you said you would study history in your spare time, try to read as much as you could. You started that habit every day, asking yourself what can I learn today that I didn't know before? You'd go on and say, I didn't want to get by with just doing enough, I wanted to do more.
My question to both of you, do you ever worry about never really being settled and happy and always wondering what's on the other side, is the grass always greener? I mean, at what point do we stop and go, OK, we're happy, let's have peace in our heart about our life, our success and our marriage? Or is it all about keep taking it to the next level?
TRUMP: Well, Speaking for myself, I don't have time to worry, I don't have time to think, and I like that. And as far as history is concerned, if you don't learn from history, you're a fool. We're in a war right now. We should have learned from Vietnam that we shouldn't be in this war. But we're in a war right now that's a disaster and it's going to be a disaster until we get out. We should learn from history.
PHILLIPS: Robert?
KIYOSAKI: And we should have learned from Vietnam. But the thing about doing what you love -- I think we write for the millions of people who are actually in a job or a position doing what they don't like or they hate for the money. I think that's tragic. And that's what we have to say. We are concerned about the gap between the rich and everybody else. And we keep asking ourselves why don't we teach about money at school? Because the United States, due to this war and other factors...
PHILLIPS: But does it always have to be about money, Robert? Always -- I mean, is it always about being rich or doing something in this world that not only -- it doesn't just bring us money, but doing something to give back or making an impact somehow, whether it's a building project or a corporation or something of that sort?
LEMON: Satisfaction.
KIYOSAKI: Well, hopefully. That's why we wrote this book together. We don't really need the money but we are concerned about the economics of our country, as well as our people. And that's why we keep asking why don't we teach about money at school because rich or poor, smart or not smart, we all use money. And in a few years, we have 78 million Baby Boomers going to come on to the U.S. payroll through Social Security and Medicare, and we've mismanaged our economy. So I think we should teach people will money, at least our politicians.
LEMON: Yes, and you said you don't need the money. Well, you know what? You can throw it our way.
KIYOSAKI: We are donating the money away, so just to let you know that. We're doing it because we are concerned.
LEMON: All right. This is what I want to ask you about, especially you, Mr. Trump. I don't much about Mr. Kiyosaki's kids. You have kids. There is a report earlier this week that said most of the CEOs in the country were spanked when they were young and it made them CEOs, it made them successful. Number one, were you spanked? Do you believe spare the rod, spoil a child? And did you do it to your kids?
TRUMP: I was spanked very lovingly, not by father, who would never do it, but by my mother. But very lovingly. And I did do it very lovingly to my children. And I would agree with those CEOs. I think it's OK, it's got to be done in the right mode. PHILLIPS: How do you not spoil your kids, Donald?
TRUMP: Well, I made my kids always work, always watch, always watch the pennies, because it was always just very important. And, you know, they went to good students, they went to good schools, they did very well, and they're doing very well to this day. So I'm very proud of my children.
LEMON: OK. I'm going ask you, Mr. Kiyosaki, and Mr. Trump, whoever wants to answer. I'm going to throw out some names, because I know Mr. Trump is not ashamed to criticize, give some good criticism. I'm going to throw out some names. Brad Pitt.
TRUMP: Well, he's married to somebody that I'm not a big fan of. I don't think Angelina Jolie is very good looking, but these are minor details.
PHILLIPS: Is it all about looks?
TRUMP: No. But you know what..
PHILLIPS: Oh, wait a minute, let me just look at your wives.
TRUMP: Excuse me.
PHILLIPS: Your wives are very attractive.
TRUMP: That's true, I agree with that. But I don't want to go out with a woman who's been out with more people than I have.
LEMON: All right. Britney Spears.
TRUMP: Well, she's very lovely, but she's, you know, had some problems in the last year or so. And I said last night on "LARRY KING," I was against the husband, Kevin Federline. And then I heard his biggest hero in life is Donald Trump and, all of a sudden, I say he's a great guy.
PHILLIPS: How do you know your wives aren't after you for just the money?
TRUMP: Well, you never know, do you? But I think I've had -- actually, I've had some very nice wives, but they had a hard time competing with my business.
PHILLIPS: Robert, do you worry about it, women just chasing you for your money?
KIYOSAKI: No, because I'm -- this is 20 years I've been married now, and she gets more beautiful every year. And she married me when I didn't have any money, so I knew there was nothing for her to steal.
LEMON: You have to admit it, though, the money does help, though. Come on.
TRUMP: Never hurts, I'll be honest. See, I'm just a little bit more honest.
KIYOSAKI: I was spanked as a kid.
PHILLIPS: Weren't we all? Let me ask the final question.
LEMON: Yes, we should. Donald Trump also in the vodka business. We want to tell you about that. What's the name of the vodka, real quick?
TRUMP: It's Trump Vodka. Are you shocked? And it's doing amazingly.
PHILLIPS: This is not what I wanted to know.
LEMON: All right, what do you want to know?
PHILLIPS: I wanted to know if he's going to ever cut his hair to look like Robert's?
LEMON: I was going to ask, but you know, I was kind of afraid.
TRUMP: Well, Robert has this magnificent head of hair. I don't know if I can do that.
LEMON: Donald Trump. Robert Kiyosaki.
PHILLIPS: Gentlemen.
TRUMP: Nice talking to you both.
LEMON: The book is called "Why We Want You to be Rich." And, of course, I'm going to read it because I would love to be rich. Who wouldn't?
PHILLIPS: Two men, one message. I'm going to read it for -- just ti try not to be bored in life and take it to the next level. That way you can never get fired by Donald Trump or Robert.
LEMON: There you go.
PHILLIPS: Thanks, guys.
KIYOSAKI: Thank you.
TRUMP: Have a good time.
LEMON: Now to more serious matters. North Korea's nuclear threat. It's the talk of the town.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: They have a real argument about why we can have it and they can't.
UNIDENTIFIED MALE: Well, I don't have any. Do you have any?
UNIDENTIFIED FEMALE: No, not on me.
UNIDENTIFIED MALE: I always have to go next door to my neighbor's when I need one.
(END VIDEO CLIP)
PHILLIPS: But North Korea's dear leader hasn't endeared himself to all the media. Jeanne Moos takes a look, straight ahead from the NEWSROOM.
(COMMERCIAL BREAK)
LEMON: Let's get to the NEWSROOM for a developing story. T.J. Holmes -- T.J.?
T.J. HOLMES, CNN CORRESPONDENT: Don, these developments just keep coming in this Mark Foley scandal. But we've got an update now. You remember last week, the speaker, Dennis Hastert, announced that he was setting up a tip line for people to call in if they had any information about the House page program and anything having to do with Mark Foley.
Well now we're getting word or being told that at least 400 calls have come into this tip line. You're seeing that up on your screen. That is the number and they are still asking for those calls. That number, 866-348-0481.
And people can call in and remain anonymous, but they are asking for any information that anyone has about the House page program in general even. But more specifically, anyone who has any information about any improper contacts, communications that anyone current or former pages might have had with now former Congressman Mark Foley. So again, it's a story that continues to update and we are all over it. Back to you guys.
LEMON: And we're hearing the House inspector's general office transcribing the messages to determine whether the information should go to the Ethics Committee. So a lot more to come with this T.J. Thank you so much.
PHILLIPS: Let's get straight to meteorologist Jacqui Jeras. She's working another developing story, severe weather -- Jacqui?
JACQUI JERAS, CNN METEOROLOGIST: Yes, we've been watching areas in Alaska actually, Kyra. This is really interesting in how its been affecting an oil pipeline in this area, how it had to get shut off. And I want to show you the town of Valdez, where most of this rain has been occurring.
All of these green areas that you see highlighted are where we have flash flood warnings. That's why you've got SSW on each of them and Valdez is one of the areas that has seen the heaviest of rainfall. And in fact yesterday, they had 4.80 inches of rain. That's the most rain that they've ever had in any single day.
There's a lot of flooding going on in this area. A lot of the rivers and streams are out of their banks. The Richardson Highway closed Monday night between mile marker 13 and 79 and the road connects Valdez to the rest of the state. Some major damage has occurred in Keystone Canyon. Four of the bridges were affected, one of which was moved five feet by the rushing water. We're also getting reports of rainfall in the sewered area between nine and 15 inches. And rain continues to be in the forecast at least through Thursday night -- Kyra?
PHILLIPS: All right, Jacqui, thanks.
Well the closing bell and a wrap of the action on Wall Street straight ahead.
(COMMERCIAL BREAK)
PHILLIPS: Secretive, paranoid and unpredictable dictator allegedly sets off a nuclear explosion. What's so funny? Not a lot, but leave it to CNN's Jeanne Moos to find some humor anyway.
(BEGIN VIDEOTAPE)
JEANNE MOOS, CNN CORRESPONDENT (voice-over): Though no one was practicing duck and cover drills, news from North Korea is yet another stressful thing.
UNIDENTIFIED MALE: It's bad. It's bad.
UNIDENTIFIED FEMALE: It worries me a lot.
UNIDENTIFIED FEMALE: It absolutely makes me nervous.
MOOS: On North Korean T.V., the nuclear bombshell was dropped...
UNIDENTIFIED FEMALE: (Speaking in Korean)
MOOS: ... by an anchor woman so enthusiastic she rivaled Katie Couric's pre- "CBS Evening News" sell.
(on camera): The "New York Times" had a straightforward, across the page banner headline: "North Korea Says it Tested a Nuclear Device Underground," and the "New York Post," "Nut with a Nuke".
(voice-over): After all, that's how Kim Jong-Il is often portrayed in America.
UNIDENTIFIED MALE: I am so crazy.
MOOS: "Mad T.V." presented Kim as a talk show host interviewing Donald Trump.
UNIDENTIFIED MALE: So Donald Trump, you have a head like a mushroom cloud.
UNIDENTIFIED MALE: Thank you.
MOOS: Whoever imagined Donald Trump's hair would be prophetic? UNIDENTIFIED MALE: You're fired.
MOOS: North Korea's U.N. ambassador was the object immediate chase as he went by foot to the U.N. The press followed and followed, even when the ambassador said he'd had enough.
UNIDENTIFIED MALE: That's enough. That's enough.
MOOS: But at least he didn't do what Angelina Jolie's bodyguard did to a photographer staking out Angelina and Brad in India.
At least the North Korean ambassador, despite his imperfect English, was able to pronounce a certain word...
UNIDENTIFIED MALE: Nuclear test.
MOOS: ... better than a certain president.
BUSH: A nucular (ph) test.
MOOS: Nuclear is correct, though "Merriam-Webster's" notes that, while disapproved of, nucular is widely used by "educated speakers, including one U.S. president".
And speaking of nukes:
UNIDENTIFIED MALE: There's a real argument about why we can have it and they can't.
UNIDENTIFIED MALE: I don't have any. Do you have any?
MOOS (on camera): No. Not on me.
UNIDENTIFIED MALE: It's OK, because I always have to go next door to my neighbors when I need one.
MOOS (voice-over): No depiction of Kim Jong-Il...
UNIDENTIFIED MALE: Hello.
MOOS: ... has captured the dear leader quite the way the guys who created "South Park" did in their movie.
UNIDENTIFIED MALE (singing): I'm so lonely, so lonely, so lonely inside, so alone.
TREY PARKER, DIRECTOR, "TEAM AMERICA": We actually think if the real Kim Jong-il ever sees that, he'll probably start crying.
MOOS: Don't cry for me, North Korea.
Jeanne Moos, CNN, New York.
(END VIDEOTAPE)
LEMON: Oh, my goodness. PHILLIPS: Someone who is never lonely, our Ali Velshi in New York.
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