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President's Iraq Address; Monster Storm; Terminal Chaos; Cargo Inspections on Passenger Planes; China Claims Olympics Terror Plot; Chinese Public Unaware of Outcry

Aired April 10, 2008 - 11:00   ET

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


TONY HARRIS, CNN ANCHOR: Tornadoes ripping up real estate in the south. Storms part of a dangerous system we are watching all day.
BRIANNA KEILAR, CNN ANCHOR: Court documents reveal a barbaric practice inside a secretive polygamist temple. You are in the NEWSROOM.

HARRIS: We are minutes away from a major speech by President Bush focusing on the war in Iraq. CNN will, of course, bring it to you live. Standing by with a preview, CNN white house correspondent Elaine Quijano and our pentagon correspondent Barbara Starr.

Elaine, let's begin with you. What are we expecting to hear from the president at the bottom of the hour?

ELAINE QUIJANO, WHITE HOUSE CORRESPONDENT: Good morning to you, Tony.

We are expecting President Bush to discuss his decision to cut down the combat tours of duty from 15 months to 12 months but only for troops that are going to be deploying starting August 1. Now, in his speech, coming up here shortly, the president will also sign off on the recommendation of a top U.S. commander in Iraq, General David Petraeus, for a 45-day pause in the troop drawdown come July. That means some 140,000 U.S. troops will remain in Iraq.

This morning we should mention the president did have breakfast with General Petraeus as well as the top U.S. diplomat in Iraq, Ambassador Ryan Crocker. This on the heels of congressional testimony by the two this week.

Now interesting to note unlike last September, after they first testified, the white house decided this time around, to not go with a prime time presidential address to the nation. Instead the president will be making his speech here shortly, middle of the day. We are told that it will last no more than 15 minutes.

HARRIS: Can't wait. All right. Elaine, great to see you. Thank you.

KEILAR: Turning to Barbara Starr at the pentagon.

Barbara, what can you tell us?

BARBARA STARR, CNN PENTAGON CORRESPONDENT: Well Brianna, I can tell you that for the troops on the front lines in Iraq and Afghanistan, what the president is expected to say is issue number one for them. To get those very grueling 15-month tours of duty back down to 12 months is really vital. That's what you hear these young soldiers talk about the most. The amount of time they are spending away from their families is very tough. And even General Petraeus, four-star commander, talked about that very issue earlier this morning.

(BEGIN VIDEO CLIP)

GEN. DAVID PETRAEUS, CMDR., MULTINATL. FORCE-IRAQ: When I was asked I said that would be wonderful. 15-month tour is a very long time. It is -- 12-month tour is tough enough on our soldiers and families. A 15-month tour is obviously a bit tougher.

(END VIDEO CLIP)

STARR: This is really the thing that the troops have been looking for. It is not -- not just about stress and strain on military families. That's a great concern. There's also a real national security issue here. Top senior commanders say they have to get troops back to the United States, not just for rest but for training and refitting. A cushion if another crisis was to break out, the cushion of reserve forces ready to go is very thin. They want to see some of these troops come home. Brianna?

KEILAR: Explain this to us, Barbara. This does or does not also affect the troop rotation in Afghanistan as well as Iraq?

STARR: Well, there is a very clear emerging link actually. Once they can start to bring some of the troops home from Iraq, and get them home and let them have their 12 months at home, to rest and retrain, it does free up more troops to go to Afghanistan and what President Bush has said to the NATO summit in Bucharest, he will send a significant am of U.S. troops to Afghanistan in 2009. When you count out the numbers, Brianna, it is possible that the U.S. could put another 10,000 troop in Afghanistan next year but only if they can get them out of Iraq.

KEILAR: All right. Obviously linked there. Thanks for explaining that to us. Barbara Starr at the pentagon.

You can count on CNN for live coverage of President Bush's address to the nation on Iraq, his speech, set to begin at 11:30 eastern this morning. That's, of course, 8:30 pacific. We will bring it to you live right here in the NEWSROOM.

HARRIS: OK. It is shaping up to be another rough and tumble day weather-wise. More vicious storms this morning, this time in Arkansas, after devastation overnight. Tornadoes, flooding, even potential blizzards. One person is dead.

CNN Meteorologist Rob Marciano following all the extreme weather news for us. Check out the scenes from Dallas overnight.

All right. Let's get you right to Rob now.

Rob, those -- the scenes from the overnight hours in Dallas, what's the picture now.

ROB MARCIANO, AMS METEOROLOGIST: Those -- we have reports from the airport there that they had a 75-mile-an-hour wind gust. Certainly that's enough to do some damage. You are seeing it there.

This has mostly moved off to the east. But, you know, it is going to take a while. We have a large chunk of real estate here. Yeah. All the way to the Western Pennsylvania down to the Gulf of Mexico we have to deal with, not just today and tonight but into tomorrow.

A number of facets to the storm, we have moisture, we've got rain, we've got flooding. We have wind. We have white on the radar scope. That's snow. Blizzard warnings that are posted.

Let's talk about the tornado watches and warnings. No warnings as of yet. We are going to go through the old warnings and show you some what our Doppler is showing us. And these watches continue to be updated. And one just got posted that will be in effect for the next couple of hours. We just saw that. We had a little rotation of this one. This is a cell that earlier in Nevada and -- losing my head here. Which county was it? Extreme southwestern parts of Arkansas. This had a tornado warning. Is that a fresh warning that just came out? OK. Good. Other cells that are kind of backfiring here across eastern parts of Texas.

What's concerning us now is that earlier there was a line of thunderstorms. Now they are beginning to break apart, an area that of the atmosphere very unstable. When they do that, when they become more individual, they have a greater propensity to become super cell- like which means the greater likelihood of the things to begin to swirl and maybe have some tornadoes. That's what we are concerned about.

And this area from Little Rock all the way down to Shreveport, this is the latest tornado watch in effect for the next several hours and we are concerned about that for sure. Want to get this rain out of Missouri. My goodness. They have had a ton of it and flash flood warnings posted for the southern central half of Missouri right now with this heavy rain that continues to plague that area.

Heavy snow across parts of the north, blizzard-like conditions with winds gusting over 35, 40, 50 miles an hour. That's going to create some blinding conditions and Denver, Colorado, some of the Rocky Mountains will see some snow.

Forgot to show you this shot of Memphis, Tennessee where the river, the Mississippi continues to rise. 72 degrees there, a little bit breezy, shaking the lens. Mighty Mississippi will crest here I believe tomorrow night. As the mound of water we are just trying to get into the Gulf of Mexico continues to slowly make its way down stream. Memphis will be under the gun tonight, Tony and Brianna.

HARRIS: Boy, if you are concerned about the super cells possibly breaking off, that's really bad news. We know what kind of damage those cells. You're talking about straight line winds and talking about the possibilities of tornadoes. And, no, we don't need that happening.

MARCIANO: Keeping our fingers crossed and eye on the scope.

KEILAR: Thank you, Rob.

HARRIS: Let's get I-reports going here. When the weather becomes the news, do send along the I-reports go to CNN.com or you can type ireport@cnn.com right into your cell phone. We always remind you in these situations, be safe.

KEILAR: Stranded and frustrated of course, airline passengers in limbo for the third day in a row. American Airlines canceling more than 900 flights today. That is more than 2,000 this week as its MD- 80s undergo a second round of FAA mandated inspections.

UNIDENTIFIED MALE: There's just no organization here.

UNIDENTIFIED FEMALE: We have been here over an hour and no one told us anything.

UNIDENTIFIED FEMALE: I have to spend the night. I can't get out until tomorrow. My luggage is on its way to Detroit.

UNIDENTIFIED FEMALE: We need to get to the left field in about the next 30 minutes. Or we are really in trouble.

KEILAR: Frustration there with a capital F and American Airlines today trying to make amends with vouchers, refunds and compensation for overnight stays. And this just in. CNN confirming Midwest Airlines has grounded 13 MD-80s, the same kind of planes causing the issue with American Airlines. Also, grounding them because of the inspections there with the wiring harness. This includes 11 passenger flights and two charter flights. Midwest hopes the inspections will be completed by the end of the day today. These cancellations impacting a quarter of Midwest Airlines' fleet.

What's under your seat when you fly? You may want to know. Maybe you should ask that question. Right now, possibly it is lots of uninspected cargo. The TSA is ordering all cargo to be screened for explosives. USA Today reporting tons of goods, including computers and auto parts will have to be x-rayed. This could lead to longer delivery times. That's the unfortunate part. The rule closes a dangerous security gap.

HARRIS: The Munich Olympics, 1972, much of the world introduced to terrorism. China says that it has uncovered a similar plot that targeted the summer games in Beijing. But can China be believed? CNN's Eunice Yoon looks for answers.

(BEGIN VIDEOTAPE)

EUNICE YOON, CNN CORRESPONDENT: China says it uncovered two terrorist plots, kidnapping athletes and attack tourist hotels during the summer Olympic Games. The Ministry of Public Security says several members of a ring based in the western province, home to China's minority Muslim leader population have been arrested. The police confiscated explosives and poison. The government says that the ring had planned to kidnap athletes, foreign journalists and other visitors at the games. Human rights groups raise questions if authorities are exaggerating the accounts to tighten the control of the region especially in light of the protests against their policy on Tibet. Like Tibet, many among the minority population are advocating for greater independence.

Eunice Yoon, CNN, Beijing.

(END VIDEOTAPE)

HARRIS: The Olympic torch and the heat being felt around the world really, latest stop in San Francisco, the only North American city on the torch's route to China. The torch ignited more scuffles between supporters of China and those protesters.

That forced last-minute changes for the torch run. Some people waited hours on the original route only to discover that they were flat out of luck. Even the plan closing ceremony at the waterfront was canceled. Instead, it was moved to San Francisco International Airport. The flame was then placed on a plane and not displayed.

KEILAR: The outcry, bad news for China but for its citizens no news at all. The protests blacked out by state-run media.

CNN's John Vause explains.

(BEGIN VIDEOTAPE)

JOHN VAUSE, CNN CORRESPONDENT: Chinese officials had wanted the perfect torch relay and on state controlled television that exactly what happened. Only smiling, happy supporters waving Chinese and American flags.

UNIDENTIFIED FEMALE: Very excited all over the world about this.

UNIDENTIFIED MALE: Congratulations on the summer Olympics.

VAUSE: In this paralleled TV universe, thousands of demonstrators were never seen. There was brief mention of the relay route was changed but the news anchor said it was because of local security and nothing more.

The torch relay went on smoothly, she said. Only one protester tried to grab the torch. Most Chinese that get all their news from state-run media, this is now their real of what happened in San Francisco. The reality for the president of the International Olympic Committee is different. The protests around the torch relay, he says, are a crisis and then came even stronger words at least by IOC standards.

JACQUES ROGGE, IOC PRESIDENT: Awarding the games to China, the social agenda of China, including human rights. We definitely ask China to respect this.

VAUSE: In response, Beijing is having none of that. The IOC supports the Beijing Olympics as well as the spirit. And the IOC does no want political factors as part of the Olympics, says this foreign ministry spokeswoman.

China blames most of the problems on the Dalai Lama. The exiled Tibetan spiritual leader is accused of undermining the Olympics and even though he publicly supports the games and has pleaded for the torch relay to continue in peace.

DALAI LAMA, EXILED TIBETAN SPIRITUAL LEADER: I sent a message to Tibetans in the San Francisco area, please don't make any violence activities.

VAUSE: Despite all the protests the international committee says this torch relay will continue as planned but future relays remain in doubt. The IOC says it will review the situation but only after the summer games.

John Vause, CNN, Beijing.

(END VIDEOTAPE)

KEILAR: Democrats are on the campaign trail in two key primary states today, Pennsylvania and Indiana.

Hillary Clinton has several stops in Pennsylvania. The primary there, 22 but last night she was partying with a pop star. Singer Elton John raised $2.5 million for Clinton's campaign at a benefit concert in New York.

Now Barack Obama campaigns in Indiana today. His town hall meeting in Gary is scheduled for noon eastern. And the Indiana primary is on May 6th.

On the Republican side, John McCain holds a meeting in New York focusing on small business. McCain's campaigned in Connecticut yesterday.

HARRIS: Consider this. John McCain heading the Republican ticket with Condoleezza Rice as his running mate, a new poll pit that team what some Democrats consider their dream team. And in the WNBC Maris poll, 49 percent of registered voters in New York would support a McCain/Rice ticket compared to 46 percent for a ticket with Hillary Clinton running for president and Barack Obama as vice president. Democrats fared slightly worse in New York with Obama at the top of the ticket. 49 percent would back McCain and Rice compared to 44 percent for Obama as president and Clinton and vice president.

KEILAR: The drive for safer cars. It is crunch time for the family sedan ahead in the NEWSROOM.

(COMMERCIAL BREAK)

HARRIS: Good morning. You are in the CNN NEWSROOM. Tony Harris. Beloved black lab home from the kennel. Trouble is, the owner says it is not my dog, man.

(COMMERCIAL BREAK)

KEILAR: Stranded again. Airline passengers in limbo for three days in a row right now. American Airlines canceling hundreds of flights this morning.

Our Susan Roesgen is checking the lines of Chicago's O'Hare Airport.

What do you see there? I can tell you, really upset people, frustrated folks.

SUSAN ROESGEN, CNN CORRESPONDENT: Actually Brianna, not as many. Not nearly as many as yesterday. Yesterday the lines swung all the way down. I would say, you know, hundreds of yards in both directions. Today this is basically what you might see on a normal Thursday morning at O'Hare Airport. Behind me we have a couple of here from American Airlines, giving out coffee and just and water and granola bars. There's nobody here to take them, a few folks over here checking the departures.

Ma'am, can I ask you is, it on time today?

UNIDENTIFIED FEMALE: Unbelievable. I have been calling since six o'clock this morning. I'm just shocked it is still on time. I thought when I got here for sure it would say canceled. So it is, so far so good.

ROESGEN: Where are you going?

UNIDENTIFIED FEMALE: Atlanta on an MD-80.

ROESGEN: You are really lucky today. Or they are getting it together.

UNIDENTIFIED FEMALE: Right, right. Or they are getting it together. Here's go, my favorite passenger.

ROESGEN: Good luck today.

Brianna really what's happened today, according to the American Airlines spokeswoman here at O'Hare we talked to, she believes that many people simply got the word, you know, check out the Web site at home and don't come in if you don't have to. But beyond that, of the 900-plus American flights that had to be canceled today only about 120 here at this airport had to be canceled. A lot of people were accommodated on other airlines while this American Airlines continues to check the MD-80s with the wiring in the wheel wells. Not only does the airline itself from to have its own mechanics out there checking the wiring but also then the FAA has to go back and re-inspect the wiring to make sure that it is bundle properly. That's the wiring that can cause a malfunction in the landing gear or even a fire.

So it's a very serious problem that American Airlines was supposed to have had worked out two weeks ago. And apparently according to the FAA the inspections and work that with a done was not up to snuff and had to take the planes out of commission today.

Again, as you can see, pretty normal day here at O'Hare. I don't see the people frustrated. Yesterday in line you could walk down and hear a different sad story. Every person, one woman I talked to had to get to a funeral. Another had to get to work. Another one was missing an incredible meeting. We don't have that so much today, Brianna.

KEILAR: That's good news. I mean I was sure that you were getting an earful but I'm glad that I was wrong. I want to talk to you about another airline, much smaller airline, also grounding planes. What can you tell us about that?

ROESGEN: Midwest Airlines, their hub is in Milwaukee. They have had to ground about a dozen or so of their MD-80s there. A small number of their entire fleet. They fly it of this area. That apparently is not such a big problem for them. Also, as far as American goes, they say that right now, they expect to have a 100 percent schedule back in operation by Saturday, which would be good news for a lot of weekend flyers.

Where are you going?

UNIDENTIFIED FEMALE: I'm not sure. I'm going to Orange, California.

ROESGEN: Orange County, California. OK, let's see. Do you see it? Let's see. Yes. It is there. Looks like it's on time. Thank you. Good luck.

KEILAR: I love this much. Susan Roesgen, not only is she glass half full but she's also helping people out at the airport. Thank you so much, Susan, there at Chicago O'Hare. Appreciate it.

HARRIS: Oh, boy. Terrific.

All right. The latest mid-sized car crash results are in. Word is, better protect in side impact crashes than they were four years ago. Insurance Institute for Highway Safety says the better ratings are due to size air bags that improve design. Yikes. Getting top scores, Chevrolet Malibu, Saturn Aura, Dodge Avenger, Nissan Altima, Infiniti's G35, and Mitsubishi's Galant. Mixed results though for rear end impact. The Insurance Institute reports the Kia Optima was the only car to get a top rating.

And emergency text on your cell phone could be coming your way soon. The Federal Communications Commission has approved a new emergency cell phone alert system. The messages could be used to warn of a terror attacks, national disaster or amber alert. The sec is giving them ten months to devise the plan. Subscribers could opt w out if they don't want the messages.

KEILAR: This is pretty messed up this next story we will tell you about. An Oregon family returns from vacation, they pick up their black lab from the kennel and soon they figure out that it is not their dog. But that's not the end of it. Here is Deborah Gill of our affiliate KPTV.

(BEGIN VIDEOTAPE)

DEBORAH GILL, KPTV: A sweet black lab wags at the Griggs family but say she's not a member of their family.

KEN GRIGGS, DOG OWNER: I have five kids. She's like the sixth kid. And everybody wants the dog back.

GILL: Ken took Callie, their pet of seven years, to the Tail Inn for boarding while they went away for spring break. He says when they returned, they did not get Callie back.

GRIGGS: You don't think somebody is going to give you the wrong dog.

GILL: Ken says at first he thought the dog was theirs. They look amazingly the same. But Ken says the dog was not enthusiastic to see the family. And his habits and mannerisms were different. He called the kennel and returned the dog.

ALLISON: I was very concerned when that happened. I've been in business for ten years. I have never heard of anything like this happening.

GILL: Allison says they had eight female black labs over spring break. They played together in the yard every day. They don't allow collars, calling them dangerous.

ALLISON: We are confident that we can -- we know where that dog was every minute.

GILL: Allison kept the dog overnight. The Griggs family returned the next day.

ALLISON: Callie, Callie.

HARRIS: Let's interrupt this to get to you the president now for his comments, his speech this morning on Iraq.

GEORGE W. BUSH. PRES. OF THE UNITED STATES: Good morning.

Fifteen months ago I announced the surge. And this week General Petraeus and Ambassador Crocker gave Congress a detailed report on the results.

The immediate goal of the surge was to bring down the sectarian violence that threatened to overwhelm the government in Baghdad, restore basic security to Iraqi communities, and drive the terrorists out of their safe havens.

As General Petraeus told Congress, American and Iraqi forces have made significant progress in all these areas. While there's more to be done, sectarian violence is down dramatically. Civilian deaths and military deaths are also down. Many neighborhoods once controlled by Al Qaida have been liberated. And cooperation from Iraqis is stronger than ever, with more tips from residents, more Iraqis joining their security forces, and a growing movement against Al Qaida called the Sons of Iraq.

Improvements in security have helped clear the way for political and economic developments described by Ambassador Crocker. These gains receive less media coverage, but they are vital to Iraq's future.

BUSH: At the local level, businesses are reopening and provincial councils are meeting.

At the national level, there's much work ahead, but the Iraqi government has passed a budget and three major benchmark laws. The national government is sharing oil revenues with the provinces. And many economic indicators in Iraq, from oil production to inflation, are now pointed in the right direction.

Serious and complex challenges remain in Iraq, from the presence of Al Qaida to the destructive influence of Iran to hard compromises needed for further political progress.

Yet, with the surge, a major strategic shift has occurred. Fifteen months ago, America and the Iraqi government were on the defensive. Today, we have the initiative.

Fifteen months ago, extremists were sowing sectarian violence. Today, many mainstream Sunni and Shia are actively confronting the extremists.

Fifteen months ago, Al Qaida had bases in Iraq that it was using to kill our troops and terrorize the Iraqi people. Today, we have put Al Qaida on the defensive in Iraq and we're now working to deliver a crippling blow.

BUSH: Fifteen months ago, Americans were worried about the prospect of failure in Iraq. Today, thanks to the surge, we've renewed and revived the prospect of success.

With this goal in mind, General Petraeus and Ambassador Crocker have submitted recommendations on the way forward. After detailed discussions with my national security team, including the secretary of defense, secretary of state, Joint Chiefs of Staff, I've accepted these recommendations.

A recommendation likely to receive the most attention is on troop levels.

General Petraeus has reported that security conditions have improved enough to withdraw all five surge brigades by the end of July. That means that by July 31st, the number of U.S. combat brigades in Iraq will be down by 25 percent from last year.

Beyond that, General Petraeus says he'll need time to consolidate his forces and assess how this reduced American presence will affect conditions on the ground before making measured recommendations on further reductions. BUSH: And I've told him he'll have all the time he needs.

Some have suggested that this period of evaluation will be a pause. That's misleading, because none of our operations in Iraq will be on hold. Instead, we will use the months ahead to take advantage of the opportunities created by the surge and continue operations across the board.

All our efforts are aimed at a clear goal: a free Iraq that can protect its people, support itself economically and take charge of its own political affairs. No one wants to achieve this goal more than the Iraqis themselves.

Those who say that the way to encourage further progress is to back off and force the Iraqis to fend for themselves are simply wrong.

BUSH: The Iraqis are a proud people who understand the enormity of the challenges they face and are anxious to meet them. But they know that they still need our help until they can stand by themselves.

Our job in the period ahead is to stand with the Iraqi government as it makes tough choices and makes the transition to responsibility for its own security and its own destiny.

So what will the transition look like?

On the security front, thanks to the significant progress General Petraeus reported this week, it is clear that we're on the right track.

In the period ahead we will stay on the offense against the enemy. As we speak, U.S. special forces are launching multiple operations every night to capture or kill Al Qaida leaders in Iraq.

Coalition and Iraqi forces are also stepping up conventional operations against Al Qaida in northern Iraq where terrorists have concentrated after being largely pushed from central and western Iraq.

BUSH: And Prime Minister Maliki's government launched operations in Basra that make clear a free Iraq will no longer tolerate the lawlessness by Iranian-backed militants.

In the period ahead, we will also continue to train, equip and support the Iraqi security forces, continue to transfer security responsibilities to them as provinces become ready, and move over time into an overwatch role.

The Iraqi army and police are increasingly capable in leading the fight to secure their country.

As Iraqis assume the primary role in providing security, American forces will increasingly focus on targeted raids against the terrorists and extremists. They will continue training Iraqi forces. And they will be available to help Iraq's security forces, if required. On the economic front, Iraq is moving forward. With Iraq's economy growing, oil revenues on the rise and its capital investment expanding, our economic role in the country is changing. Iraqis in their recent budget would outspend us on reconstruction by more than 10 to one.

BUSH: And American funding for large-scale reconstruction projects is approaching zero.

Our share of Iraq security costs will drop as well, as Iraqis pay for the vast majority of their own army and police. And that's the way it should be. Ultimately, we expect Iraq to shoulder the full burden of these costs.

In the period ahead, Iraq's economy will increasingly move away from American assistance, rely on private investment and stand on its own.

On the political front, Iraq has seen bottom-up progress as tribes and other groups in the provinces who fought terror are now turning to rebuilding local political structures and taking charge of their own affairs.

Progress in the provinces is leading to progress in Baghdad, as Iraqi leaders increasingly act together, they share power and they forge compromises on behalf of the nation.

Upcoming elections will consolidate this progress. It will provide a way for Iraqis to settle disputes through the political process instead of through violence.

BUSH: Iraqis plan to hold provincial elections later this year, and these elections will be followed by national elections in 2009.

On the diplomatic front, Iraq will increase its engagement in the world, and the world must increase its engagement with Iraq.

To help in this effort, I'm directing Ambassador Crocker and General Petraeus to visit Saudi Arabia on a trip back to Iraq, directing our nation's senior diplomats to meet with the leaders in Jordan, UAE and Qatar and Egypt.

In each capital, they will brief them on the situation in Iraq and encourage these nations to reopen their embassies in Baghdad and increase their overall support for Iraq.

This will be followed by Secretary Rice's trip to the third expanded neighbors conference in Kuwait City and a second International Compact with Iraq meeting in Stockholm.

A stable, successful, independent Iraq is in the strategic interest of Arab nations. And all who want peace in the Middle East should support a stable, democratic Iraq. And we will urge all nations to increase their support this year.

The regime in Tehran also has a choice to make: they can live in peace with its neighbor, enjoy strong economic and cultural and religious ties, or it can continue to arm and train and fund illegal militant groups which are terrorizing the Iraqi people and turning them against Iran.

BUSH: If Iran makes the right choice, America will encourage a peaceful relationship between Iran and Iraq. If Iran makes the wrong choice, America will act to protect our interests and our troops and our Iraqi partners.

On each of these fronts -- security, economic, political and diplomatic -- Iraqis are stepping forward to assume more responsibility for the welfare of their people and the fate of their country.

On all these fronts, America will continue to play an increasingly supporting role.

BUSH: Our work in Iraq will still demand sacrifices from our whole nation, especially our military, for some time to come.

To ease the burden on our troops and their families, I have directed the secretary of defense to reduce deployment lengths from 15 months to 12 months for all active Army soldiers deploying to the Central Command area of operations.

These changes will be effective for those deploying after August 1st.

We'll also ensure that our Army units will have at least a year home for every year in the field.

Our nation owes a special thanks to the soldiers and families who've supported this extended deployment. And we owe a special thanks to all who serve in the cause of freedom in Iraq.

The stress on our force is real, but the Joint Chiefs have assured me that an all-volunteer force -- our all-volunteer force is strong and resilient enough to fight and win this war on terror.

The trends in Iraq are positive. Our troops want to win. Recruiting and retention have remained strong during the surge.

And I believe this: I believe the surest way to depress morale and weaken the force would be to lose in Iraq.

One key to ensuring that our military remains ready is to provide the resources they need promptly. Congress will soon consider a vital emergency war funding request.

BUSH: Members of Congress must pass a bill that provides our troops the resources they need and does not tie the hands of our commanders or impose artificial timelines for withdrawal.

This bill must also be fiscally responsible. It must not exceed the reasonable $108 billion request I sent to Congress months ago.

If the bill meets all these requirements, it will be a strong source of support for our troops. If it doesn't, I'll veto it.

Some in Washington argue that the war costs too much money.

There's no doubt that the costs of this war have been high. But during other major conflicts in our history, the relative cost has been even higher.

Think about the Cold War. During the Truman and Eisenhower administrations, our defense budget rose as high as 13 percent of our total economy. Even during the Reagan administration, when our economy expanded significantly, the defense budget still accounted for about 6 percent of GDP.

Our citizens recognized that the imperative of stopping Soviet expansion justified this expense.

Today, we face an enemy that is not only expansionist in its aims but has actually attacked our homeland, and intends to do so again. Yet our defense budget accounts for just over 4 percent of our economy; less than our commitment at any point during the four decades of the Cold War.

This is still a large amount of money. But it is modest -- a modest fraction of our nation's wealth. And it pales when compared to the cost of another terrorist attack on our people.

BUSH: We should be able to agree that this is a burden worth bearing. And we should be able to agree that our national interests require the success of our mission in Iraq.

Iraq is the convergence point for two of the greatest threats to America in this new century: Al Qaida and Iran.

If we fail there, Al Qaida would claim a propaganda victory of colossal proportions and they could gain safe havens in Iraq from which to attack the United States, our friends and our allies.

Iran would work to fill the vacuum in Iraq. And our failure would embolden its radical leaders and fuel their ambitions to dominate the region.

The Taliban in Afghanistan and Al Qaida in Pakistan would grow in confidence and boldness. And violent extremists around the world would draw the same dangerous lesson they did from our retreats in Somalia and Vietnam.

BUSH: This would diminish our nation's standing in the world and lead to massive humanitarian casualties and increase the threat of another terrorist attack on our homeland.

On the other hand, if we succeed in Iraq, after all that Al Qaida and Iran have invested there, it'd be a historic blow to the global terrorist movement and a severe setback for Iran.

It would demonstrate to a watching world that mainstream Arabs reject the ideology of Al Qaida and mainstream Shia reject the ideology of Iran's radical regime.

It would give America a new partner with a growing economy and a democratic political system in which Sunnis and Shia and Kurds all work together for the good of their country.

And in all these ways, it would bring us closer to our most important goal: making the American people safer here at home.

I want to say a word to our troops and civilians in Iraq.

BUSH: You've performed with incredible skill under demanding circumstances. The turnaround you have made possible in Iraq is a brilliant achievement in American history.

And while this war is difficult, it is not endless. And we expect that as conditions on the ground continue to improve, they will permit us to continue the policy of return on success.

The day will come when Iraq is a capable partner of the United States. The day will come when Iraq's a stable democracy that helps fight our common enemies and promote our common interests in the Middle East.

And when that day arrives, you'll come home with pride in your success and the gratitude of your whole nation.

God bless you.

(APPLAUSE)

HARRIS: President Bush this morning while highlighting progress in Iraq, acknowledging serious and complex challenges remain in that country, indicating that a major strategic shift has occurred in the 15 months of the surge. That al Qaeda is, in the president's words, on the defensive.

Perhaps a bit of a news here. The president will give General David Petraeus all the time that he needs after the 45-day pause. He wants the surge troops are -- pulled out of the country for what is being called this consolidation period. General Petraeus can take as much time as he wants to determine when or if additional troops will be drawn down from the country.

But important news as we line up our players for our postgame here. Elaine Quijano at the White House, Jamie McIntyre at the Pentagon and Jill Dougherty in Baghdad.

Elaine, let's begin with you. Important news for military families on tours of duty announced by the president.

ELAINE QUIJANO, CNN WHITE HOUSE CORRESPONDENT: That's right. President Bush acknowledging the incredible strain on the U.S. military and the families of U.S. military members. President Bush announcing there what was expected, a reduction in the length of combat tours from 15 months to 12 months for troops that are going to be starting to deploy in Iraq after August 1st. Now, again, this is not for the troops that are already on the ground there. But again, troops starting to deploy after August 1st. That means, of course, still very much a strain for those troops and their families continuing to serve on the ground already.

President Bush also, as you noted, signing off on the recommendation of General David Petraeus, as expected, for a 45-day pause, a word he took exception to, saying look, that implies that somehow operations are on hold. But essentially, a period of assessment is how the White House describes it for General Petraeus. Forty-five days come July to take a look at the conditions on the ground there.

President Bush also announcing he would like General Petraeus as well as Ambassador Ryan Crocker, the top U.S. diplomat in Iraq, to make a stop in Saudi Arabia. Top officials going to the Middle East to discuss the situation in Iraq. The president calling on Arab allies to help in the situation in Iraq.

But the president, again, the headlines there, the reduction in the combat tours of duty as well as the signing off on General Petraeus' recommendation -- Tony.

HARRIS: At the White House for us, Elaine Quijano. Elaine, appreciate it. Thank you.

KEILAR: And let's head over to the Pentagon and our senior Pentagon correspondent Jamie McIntyre. Jamie, what are the highlights from your vantage point? Any unexpected news here?

JAMIE MCINTYRE, SENIOR PENTAGON CORRESPONDENT: Well, I think there were three things that really struck me about what the president said. The first one was as he did last time in September, he is portraying the already scheduled reductions in U.S. troops as a result of the success of the surge.

Now, I think many people would argue that the additional U.S. troops have made a difference in the security, but the fact of the matter is they were scheduled to come back whether or not the surge succeeded and it would have only -- it would have required extraordinary means and much more sacrifice to provide additional troop levels beyond that surge.

So, while he says the success is allowed the return of those five brigades or as he said 25 percent of the combat force, that was going to happen anyway.

The other thing that struck me was his characterization of the term "pause" as being misleading because he said there would be no pause in operations. No one has ever suggested that the pause applied to operations in Iraq. It's only in the pause in the further troop withdrawals that that phrase has come into play, by many people here at the Pentagon for that matter. So, I think that in itself is a little bit misleading.

And the last thing I'd say is about the reduction of the tours from 15 months to 12 months. That essentially is a promise from the Pentagon, from the administration to U.S. troops. And those kind of promises have been made and broken before. He also promised that army soldiers would have 12 months away from the battlefield for every 12 months they were there. The army would really like to see that somewhere in the neighborhood of two years off for every year on the frontline.

So again, that's a promise that the next administration will have to keep and depending on who's elected, they could either extend the tours again or they could shorten them.

KEILAR: All right, great insight for us there. Jamie McIntyre at the Pentagon, thanks.

HARRIS: Let's get to Baghdad now and our Jill Dougherty. And Jill, a note to you, the president in that speech indicating that a major strategic shift has occurred in the 15 months of the surge. al Qaeda as the president described, that organization is on the defensive. You know, Jill, it's not as simple as defeating al Qaeda in Iraq anymore. There are any number of groups now from nationalist organizations to criminal gangs to al Qaeda willing to fight Iraqi and U.S. forces.

JILL DOUGHERTY, CNN CORRESPONDENT: Yes, that's a very good point, Tony, and especially when you look at what the president was talking about, al Qaeda being one thing that is slowly being defeated. But then, he talked about the diminution of sectarian violence. That is true as well.

But what we are seeing right now, in fact, today, and for the past couple of weeks, here in the capital in Baghdad and in Basra, has not been sectarian violence. It has been Shiite versus Shiite fighting, which brings it down to another level. And that's why this is extremely complex.

Regardless of who's fighting right now, and it's happening very close by, about three miles from here in the city, in Sadr City, which is part of Baghdad. That fighting is very, very intense. And U.S. forces are in there along the with the Iraqi forces fighting the Shiite group, which is called the Mehdi Army.

So, regardless of whether they're fighting al Qaeda or the Mehdi Army, it's still violent. People are still dying. And that's why this is very complex. As soon as one problem gets solved, you move to the next level. And a lot of it's based on politics at this point.

HARRIS: CNN's Jill Dougherty for us in Baghdad. Jill, thank you.

Democrats, we understand, are ready to answer President Bush's Iraq War address. House Speaker Nancy Pelosi and Senate Majority Leader Harry Reid scheduled for noon Eastern, but we're now hearing it may be a bit earlier than that. When it happens, whenever it happens, CNN will bring it to you live.

KEILAR: We're following severe weather here in the CNN NEWSROOM. We understand there are tornado warnings in Arkansas. Several counties, in fact, are affected.

Let's head over to Rob Marciano and get some more information about just how many counties and exactly where we're looking at -- Rob.

ROB MARCIANO, AMS METEOROLOGIST: OK, Brianna, we're in through central parts of Arkansas, in the heart of these tornado watch boxes. We'll slide the map into this area. By the way, Little Rock right out here.

So, here's how the system works. You see the radar scope swirling around. Where we think the tornado is, at least indicated by the doppler, is right there by that cork screw. It is moving northeasterly at 50 miles an hour. So, people in the path of this storm, at 10:58, Prattsville, Sheridan at 11:09, roughly 6,000 people.

This tightened impact number is on a scale of one to 10, the likelihood of this thing being on the ground and doing some serious damage. So, we're up to about a six, so that's a pretty high number and that shows us some strong indication.

This cell has had a history of having a tornado on the ground about an hour ago in Miller County, just to the south and west. There goes (ph) your latest update. Again, this is shifting up to the north and east. Now, the -- tightened (ph) it back is at a seven. And now, the number of people impacted is over 7,000.

So, we -- the situation getting a little bit more dangerous, especially as it heads towards Little Rock. And the National Weather Service office out of Little Rock has just issued a special statement saying hey, this cell looks like it may very well hold together as it slides towards the metropolis of Little Rock, Arkansas. So, that's going to be a concern for that very, very populated city.

Live shot from Little Rock now. Take a look. There you go, KTHN. That operator of that tower camera from our affiliate, certainly pointing that thing towards where that storm is coming. You're rolling up Highway 30 towards that city. So, rain on the lens already and supposedly good news is that there's not a whole lot of clear skies ahead of that system, which would only add more fuel to the fire.

This is not the only area of concern today. We have several tornado watch boxes up. This one includes Memphis, slides up to Patuka (ph). Anywhere where you see clear skies, at least on the radar scope here, that's worrisome because it just gives the atmosphere a little bit more time to juice as this energy comes at it from the west, towards the east.

So, this is a general area that we're concerned about, not only today but tonight and tomorrow, all the way to western parts of Pennsylvania. Strong tornadoes possible with this and then, there's a snow issue as well. We got blizzard warnings off across parts of the Central Plains.

Anyway, that's it in a nutshell. We'll watch this thing as it gets closer and closer to Little Rock. Could very well be a tornado on the ground in central Arkansas.

KEILAR: You were talking, Rob, about that tightened impact scale. It was a seven out of 10, the likelihood of a tornado. Was that the same cell where it was a three last hour?

MARCIANO: Yes, it is, it is. And this cell has kind of gone through various life cycles. But now, it definitely looks a bit more intense ...

HARRIS: Whoah.

MARCIANO: ...and the circulation looks a little bit more significant.

KEILAR: All right, Rob Marciano, we know you're keeping an eye on that, thanks.

HARRIS: Hey, Rob, if you would, stay with us for a second because our Cal Perry is on the line. And Rob, if you would, give Cal an indication of what might be headed his way. He's in Little Rock.

Cal, are you there?

VOICE OF CAL PERRY, CNN CORRESPONDENT: I am.

Hey, Rob, you know, I was very interested to hear what you had to say. Fifty miles an hour, and I'm looking at these clouds, incredibly low moving, fast moving clouds. And now, you're giving me an indication, 50 miles an hour, that's very impressive, Rob.

MARCIANO: Yes, that's what the storm is moving, those clouds above you might be moving even faster, all sorts of energy at the lower levels. We -- one of the ingredient for severe weather outbreak will be a strong low-level jet which would exist at the, you know, the lower levels of the atmosphere, about 5,000 to 10,000 feet.

We've got that, we've got a higher level jet at a different angle coming in which creates that difference and the sheer that creates the twist in the atmosphere. So, that's what we're seeing now.

So Cal, what else are you seeing other than the clouds moving quickly above you? Is it raining there now? Is it -- are the winds gusting?

PERRY: It's off and on rain. The rain, when it is raining, it's incredibly heavy. Gusting winds and a drop in temperature I've noticed in about the past 30 minutes, a pretty significant drop in the temperature. I'm not sure if that's an indication. I'm looking at the radar now obviously on CNN and I'm watching what your pointing out. How far away are we talking from downtown Little Rock?

MARCIANO: I'm guessing you're probably 50 miles. Yes, if it's moving ...

HARRIS: Yes. MARCIANO: ...50 miles an hour, probably about that way. That cool rush of air, by the way, is the outflow of the thunderstorm as it moves your way. And there's our estimation, what does that say, 36 or 50 -- 36 miles.

HARRIS: OK, yes.

MARCIANO: So, if it does hold together, Cal, it'll be in your area within the hour. So, keep an eye on the sky, keep us posted, keep that camera handy and stay safe.

HARRIS: Rob, appreciate it. Cal, appreciate it. You're going to have a very busy afternoon. Cal Perry for us in Little Rock, Arkansas.

KEILAR: We're following severe weather, but we're also following President Bush's comments. A major speech a short time ago on the next steps for the war in Iraq. Based on the recommendations, of course, of General David Petraeus, the top U.S. commander in Iraq.

Well, CNN's own Michael Ware is conducting a live interview. You see it going on right here, an interview right now in Washington, D.C. We'll have some of that for you ahead in the NEWSROOM.

(COMMERCIAL BREAK)

KEILAR: The top U.S. commander in Iraq is in Washington reporting to Congress and President Bush on progress in the war. And you see here our Michael Ware interviewing General Petraeus.

Here is his answer to Michael's question after hours of testimony, what has been accomplished.

(BEGIN VIDEOTAPE)

GEN. DAVID PETRAEUS, CMDR., MULTINATL. FORCE-IRAQ: Well, what the Ambassador and I sought to do was to provide the latest information, provide a forthright assessment, to describe the situation that we saw and to explain the recommendations that we have made to our chain of command.

I think it was a good opportunity for a lot of back and forth. And, again, we think that that -- we hope that that was useful for them and I'll tell you, obviously, we got certain messages from them as well, as you would imagine.

MICHAEL WARE, CNN CORRESPONDENT: Do you think it did harm?

PETRAEUS: And I think that some of those messages will be heard in Baghdad as well and perhaps in some other capitals.

WARE: And say for example, issues like time tables. We heard that raised perhaps less than one would have expected. Do you think that's a part of you getting your message across?

PETRAEUS: Well, one doesn't know, obviously. Again, we -- we do believe that, again, there have been gains as we described, they're fragile, they're reversible. And we certainly don't want to unduly jeopardize those.

We think, therefore, that having done the substantial reduction that will be complete by July 5 of 20 brigade combat teams, marine expeditionary unit, two marine battalions, really (ph), the equipment of another brigade, it does make sense to let the dust settle, certainly continue in assessments during that time frame so that we can then make judgments about when we can make additional reductions or recommendations on additional reductions.

You know, I mean, we are keenly aware, as I stated a number of times on Capitol Hill of the strain on the force, on our troopers and their families on the strategic flexibility, or lack thereof, the cost, all of these different pressures. But of course, our job is to try to accomplish the mission we've been given in Iraq and, of course, that's what is the basis of our recommendations.

WARE: And being perfectly frank with the view that we both share from the ground, I mean, this war is far from over, isn't it?

PETRAEUS: Well, it's tough. And I think that Ambassador Crocker accurately used the word hard, he used it repeatedly and I think it's a correct description.

WARE: We're not coming home any time soon.

PETRAEUS: It is very complex. I think we will be engaged in Iraq. And again, that is the operative word I think, engagement, rather than perhaps exit. But engagement will continue for some time. The question of course, is at what level, at what cost, and in what form.

In other words, what tasks, how much -- when it comes to the military, are we in the lead? How much are they in the lead? Obviously, transitioning that as actually has happened and is happening in a number of areas even as we still ...

WARE: And with ...

(END VIDEOTAPE)

KEILAR: You'll see more of Michael Ware's interview with General Petraeus ahead in the NEWSROOM. You can watch the entire interview tonight at 10:00 p.m. on "AC 360."

And CNN NEWSROOM, it continues one hour from now. Big stories developing today.

HARRIS: "ISSUE #1" is next with news on the economy.

I'm Tony Harris.

KEILAR: And I'm Brianna Kielar. See you tomorrow.

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