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CNN NEWSROOM

Madeleine McCann Search; Split Verdict for Osama bin Laden's Former Driver; Energy & Politics; Partisan Plans & Pitfalls; George Bush Visits South Korea Today; Biggest Credit Card Fraud in the U.S.

Aired August 6, 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: And good morning again, everyone. You're informed with CNN.
I'm Tony Harris.

HEIDI COLLINS, CNN ANCHOR: Hi, everybody. I'm Heidi Collins.

Developments keep coming into the CNN NEWSROOM on this Wednesday, August 6th.

Here's what's on the rundown.

Breaking news. A verdict in the first war crimes trial at Guantanamo Bay. We have live coverage.

HARRIS: Is this Madeleine McCann on a security tape? Police accuse the bungling of a clue in the missing British girl's case. A family spokesman live this hour.

COLLINS: Airlines charging for everything, from pillows to peanuts. What's a passenger to do? Our guest knows. Flying for fee -- in the NEWSROOM.

HARRIS: At the top this hour, a split verdict just in, in the trial of Osama bin Laden's former driver, Salim Hamdan. A jury of six military officers at Guantanamo Bay have found Hamdan not guilty of conspiracy charges, which were the more serious allegations. But jurors did find him guilty of supporting terrorism.

Sentencing is scheduled for later today, and Hamdan could face a maximum sentence of life in prison. We will get a live report from Jamie McIntyre in minutes.

COLLINS: Finding Madeleine McCann. Her family sorting through possible new leads this morning, leads kept secret by police. A little girl spotted in the Netherlands looking for her "mummy."

Our Phil Black is live in London this morning with the very latest.

Good morning once again, Phil.

PHIL BLACK, CNN CORRESPONDENT: Hello, Heidi.

Yes, the Portuguese police wrapped up their investigation, officially closed it into the disappearance of Madeleine McCann just last month. And they did so without any sort of result, without answering the question, just what happened to this little girl?

There have long been concerns about the standard, the quality of that police work. Did they bungle that investigation? Well, this police file that they have now released, the case file -- it's some 30,000 pages -- within it there is information that could justify those concerns about the investigation.

We can run through a list here.

We know that Kate and Gerry McCann, Madeleine's parents, were declared formal suspects at one point during the investigation. That was based on the DNA evidence. We know that that DNA evidence was inconclusive and the police knew that at the time.

This police file, it also included a number of images compiled from witness statements that were said to be men who were acting suspiciously around the place and time that Madeleine disappeared. These were not released publicly, they were not shown to Madeleine's parents. Nor were CCTV images captured across Portugal of girls that looked like and may have been Madeleine in the days after that investigation.

Now, this files also tells the story of a potential witness in the Dutch city of Amsterdam who says she had a conversation with a little girl in the month that Madeleine went missing. She said this little girl looked like Madeleine.

She says that she told her name was Maddie and that she claimed that she had been taken from her parents while on holiday. We can hear a little bit from this witness now about what she believes, and is pretty sure was a close encounter with Madeleine McCann.

(BEGIN VIDEO CLIP)

ANA STAM, EYEWITNESS: I start to ask where her mommy was, and she couldn't tell me that. And I wanted to give her a balloon, but she didn't want that. She only wanted her mommy, she said. And she said that these people took her from her mommy.

(END VIDEO CLIP)

BLACK: It's a compelling story. There are a couple of facts that counter it, though.

She says the girl had dark hair. Madeleine famously had fair hair. And her parents, Madeleine's parents, insist that she would never refer to herself as "Maddie."

Having said that, what Madeleine's parents don't know is to what length the Portuguese police went to eliminate this from the investigation. It is now one more detail within these 30,000 pages that their own private investigates will now be looking at -- Heidi.

COLLINS: Phil, I just wonder, will their own private investigates have the power or the opportunity to perhaps open the case back up and go back to the Portuguese police and ask them specific questions about this case file?

BLACK: Well, from the Portuguese point of view, they consider this case closed. They have released the file, as I've said, these 30,000 pages, overcoming the strict Portuguese secrecy laws that have very much hampered the public's interpretation of this story, and even the acceptance and the knowledge with which Madeleine's parents, Kate and Gerry, were able to endure the loss of their daughter.

They say that it has been painfully frustrating to not know precisely what the police were doing in thinking through this. With those secrecy laws now lifted, with the Portuguese prosecutors themselves saying that they -- being very critical of just what this investigation and the way that it has been handled, it now seems unlikely that the case will be reopened.

But Kate and Gerry McCann aren't worried about that. They're focused on the search for their daughter. They say that's what the private investigators are for, and they're not going to give up on that.

COLLINS: Yes. Hopefully if these are credible leads, they'll be able to continue following them up on their own.

Phil Black coming to us from London this morning.

Thank you, Phil.

And also want to let you know that in just a few minutes, we're going to be talking with the McCann family spokesman about these very developments.

HARRIS: And as we mentioned at the top of the newscast, a split verdict just in, in the trial of Osama bin Laden's former driver, Salim Hamdan.

Let's get you right to CNN Senior Pentagon Correspondent Jamie McIntyre at the Guantanamo Bay military court.

And Jamie, good to see you again.

If you would, take a moment and explain the verdict to us.

JAMIE MCINTYRE, CNN SR. PENTAGON CORRESPONDENT: Well, it's -- in a fashion, it's a split verdict, but really I think you could mark it down as a guilty verdict for Salim Hamdan, who was convicted of what was -- of a second count, which was material support for terrorism. This involved being the driver for Osama bin Laden, for transporting and delivering weapons and ammunition to the battlefield, accompanied bin Laden, and on various occasions received weapons training. Those are the things that the jury found Salim Hamdan guilty of.

What they found him not guilty of was another charge of conspiracy to aid terrorism. And in that charge, they would have to find that he had an intent to aid in and plan attacks, and they found him not guilty on that count. But for practical purposes, Salim Hamdan was convicted today by a military jury. The jury will now go into a phase of the trial in which they will determine a sentence for Salim Hamdan, who faces a potential life in prison, and the trial will progress from here.

Already, we've heard from some of the human rights advocates who are monitoring the trial that they don't believe that the trial was fair because of the hearsay evidence that was allowed, because of the secret testimony that was allowed, and because of the admission of evidence that would not be admitted in U.S. courts.

One explanation for the possible not guilty verdict, for the not guilty verdict on the conspiracy charge, on that charge the judge admitted yesterday that he may have misinstructed the jury on the law of armed conflict, and that could have had direct bearing on them determining that Hamdan did not meet the criteria for a guilty verdict on that count. But Salim Hamdan, the driver for Osama bin Laden, convicted today in this military commission, the first one since World War II.

Back to you.

HARRIS: Our Senior Pentagon Correspondent Jamie McIntyre for us.

Jamie, thank you.

COLLINS: Minutes ago we told you about breaking developments in the search for Madeleine McCann. Clarence Mitchell is a family spokesman. He is here with us now live to talk a little bit more about what all of this means.

Clarence, you know, we were just speaking with our correspondent on this piece, Phil Black, out of London, who tells us and reminds us that, of course, the Portuguese police closed this investigation and then, now most recently, have released the case file. And that is what is at issue today.

Any indication or possibility that the case could be reopened?

CLARENCE MITCHELL, MCCANN FAMILY SPOKESMAN: That's right, Heidi. Phil was quite right in saying that.

No, we don't think the case will formally be reopened. The Portuguese attorney general made it very clear that there was no proof that any of the suspects at that stage, including, of course, Kate and Gerry McCann, were involved in any criminal action in Portugal.

That is quite right. Kate and Gerry were not in any way involved in the disappearance of their own daughter. But because of that, the case was being archived or shelved.

What we hope now is that the police will still at least have a spirit of cooperation with the private investigators who are now working internationally to find Madeleine, and they will use all of the information in the police file. And they're now going through it very methodically for any leads at that could lead to getting Madeleine home.

COLLINS: And one of those is certainly the sound that we heard from the woman in Amsterdam. When did the McCann family actually become aware of this potential sighting?

MITCHELL: Well, that's one of the scandals of this whole case. They only became aware of that particular sighting in the last few days when we got access to the police file. For whatever reason, the Dutch police investigated that quite properly last year, and they passed that information on to the Portuguese police, and for whatever reason, they did not inform Kate and Gerry of that particular sighting. This is...

COLLINS: So they never had direct -- I'm sorry. They never had direct conversations with the McCann family about these sightings?

MITCHELL: One of the greatest frustrations for Gerry and Kate all the way through this has been the absolute lack of communication with the Portuguese authorities. It might shock you to hear that the officer in charge of the case has never actually spoken or been in any form of contact with either Kate or Gerry, and this is the man who was responsible for looking for their daughter.

Kate at one point had to write to him last year pleading for information. It never came back. The letter was simply put in the police file. And that, too, has been revealed today.

That lack of communication was, quite frankly, a disgrace, and that is why it was so important, one, to get their suspect status lifted, quite correctly, and two, to get access to these thousands of pages of information which their lawyers and the private investigators are now going through very, very carefully, indeed. There still could be the key in there that unlocks the search for Madeleine.

COLLINS: And important to point out, I think, too, everyone wants to hear something from the Portuguese police. We should let you know our correspondent, as I mentioned, Phil Black, has certainly put in those phone calls to the Portuguese police trying to get their comment on all of this. And those phone calls have not been returned to him or to CNN as a news entity. So we continue to invite that, certainly.

Do the McCanns know how specifically these sightings were ruled out if they were not even in that case file?

MITCHELL: No. That's one of the tragedies of this. They don't know what has been done. And more importantly, as you suggest, they don't know what hasn't been done. And that's why they need to move -- the investigators need to move swiftly on any leads that require urgent attention.

As I say, Kate and Gerry did not know what exactly was being done in the search for their daughter by the very police force that had that responsibility. And more importantly, they had no idea what wasn't being done.

COLLINS: Well, certainly, as we have said before, time is always such an issue in cases like this.

MITCHELL: Critical, absolutely.

COLLINS: And we certainly wish everyone involved the very best, certainly.

Clarence Mitchell is acting as the family spokesperson.

We certainly appreciate your time, Mr. Mitchell.

MITCHELL: Thank you very much.

HARRIS: The energy drain on your wallet, part of our day-long focus on CNN. It is issue #1.

(COMMERCIAL BREAK)

COLLINS: Your money, it's issue #1 here at CNN. And today, big stories hitting your wallet.

The government releases its inventory report on both oil and gas. And just minutes ago, we learned oil stockpiles are higher than expected. Gas reserves are lower.

Oil prices are mostly steady. They're at a three-month low, in fact.

Gas prices have fallen for a 20th straight day. The national average today about a penny less than yesterday.

So let's go see how the Big Board is doing. How does it look?

A live look for you, 57 points to the negative. Yesterday was the big, big, huge day. And we all are living in the past.

HARRIS: So the energy crisis problems and potential solutions will be the focus throughout the day right here on CNN. From hybrid cars, to alternative energy, to offshore oil drilling, we're examining what the politicians are proposing and whether their plans might actually work.

COLLINS: Let's begin with the Republican point of view, shared just last hour on Capitol Hill.

CNN's Brianna Keilar is in Washington.

Good morning to you, Brianna.

BRIANNA KEILAR, CNN CORRESPONDENT: Good morning, Heidi.

Yes, the Republican point of view, Newt Gingrich -- and no, he's not back in Congress, but he is lending House Republicans a little star power today as they continue to stay on Capitol Hill, giving speeches on the House floor about how to curb high gas prices, doing so even though Congress left town last Friday. This is a show of defiance against Democrats. They are getting attention for the noise they're making, and of course that's the point.

Newt Gingrich helping them stay in the spotlight today. Let's listen.

(BEGIN VIDEO CLIP)

NEWT GINGRICH (R), FMR. HOUSE SPEAKER: When we are sending $700 billion a year overseas, much of it going to dictators, and we are propping up organizations and people with the high price of oil, it's a bad national security policy, it's a bad economic policy, and in the long run it's a bad environmental policy. And if we would pass a strong energy bill this year, we would be a much better country. I'm very proud of the House Republicans.

(END VIDEO CLIP)

KEILAR: There are a few dozen House Republicans who have remained on the Hill, many of them you saw there behind Gingrich. They're taking turns giving those speeches on the House floor. They've done it since Congress left town Friday morning.

Despite the fact the lights are off and the microphones and the cameras are off, they're pressing Congress to come back to town. And there continues to be this sticking point between Republicans and Democrats.

Of course, it's offshore oil drilling. Republicans want it. Democrats say oil companies should drill on leases they already have and that it would be a huge mistake to open up environmentally- protected areas off the coast to oil drilling. Democrats saying that these Republicans are not really interested in a compromise, they're not really interested in productive debate. Democrats just calling this an election year stunt -- Heidi.

COLLINS: All right. Well, we are certainly watching.

Brianna Keilar, thank you.

HARRIS: Energy and presidential politics. The two leading candidates are hoping to solve problems and win office with their plans. So let's compare their ideas. Let's put them up here side by side.

CNN's Josh Levs is here to point out some differences.

And Josh, some similarities.

JOSH LEVS, CNN CORRESPONDENT: Exactly. You know, that's part of the reality check here we forget.

The thing is, energy is such a massive issue. We're talking about dozen of separate issues that all fall under the rubric of energy. And we want to boil it down for you so you know some basics amid the clamor that's going on there on the campaign trail.

We're going to start off with a pretty good summary here that boils down what these two guys share. And this is important.

They are both promising steps to end dependence on foreign oil, cleaner technologies. They both promise different plans to cut carbon emissions, and say they believe it's important. And both of them are arguing that there will be serious job creation by following their energy plans.

Let me show you two more things where they both agree.

Both openly and publicly criticized the Bush administration, both have for years. And both believe that climate change is a serious threat.

All right. Let's switch over to some key differences on major issues that the two of them argue over. We're going to start off with offshore drilling.

McCain used to be against it, he now supports expanding offshore drilling, lifting this federal ban on offshore drilling. Barack Obama opposes it, but he's now saying he would agree to a compromise under which there would be some of that.

Let's go on to the next one here. We're going to take a look at nuclear energy, because this is a big topic on the campaign trail. A lot of attacks over this.

McCain wants to expand nuclear energy, he wants more nuclear reactors in the U.S. Obama doesn't simply say no. That's what you hear sometimes. What Obama says is he would consider more, but not until he is satisfied that certain safety and security issues have been resolved.

One more thing I want to tackle here for you, and that's this -- taxes on oil companies. Big difference here. And this might be one of the biggest ways that they differ. McCain opposes it. Obama wants a windfall profits tax.

So those are some of the biggest issues for you to keep in mind.

Let's take a look at the screen behind me. If you want more information on where the candidates stand on these and other energy proposals, first of all, we have a great story here, "Obama and McCain Energy Plans." It's at CNN.com, one of our big stories right now.

But what I'm also going to do is touch some of these buttons here. We're going to take a look.

This is John McCain's Web page, Lexington Project. He talks about his steps to improve the environment and tackle the energy crisis at the same time.

Barack Obama does the same thing at his issues page, "Energy and Environment." They both link these two.

Now, there's one more thing I want to mention, because I know you mentioned earlier this whole idea of cars and hybrids. HARRIS: That's right. That's right.

LEVS: Everybody wants hybrid cars. This is one of the many places where they agree. In fact, as proof of this, take a look here. The last thing we're going to show you.

This is our issues page at CNN.com. But let's close in on these words.

This is the Obama page. He says he would mandate that all new cars be flex-fuel capable, and he supports advanced technology including research into new engines and plug-in hybrids.

And guess what John McCain says? It's not all that different. He's proposing a $300 million award for the development of a battery package with the size, capacity, cost and power to leapfrog what's commercially available.

They both want hybrids. There's a lot of places where these two guys agree. It's those few ones that we're boiling it down to where you have the big disagreements. And that's why they're in all the ads, they're on the campaign trail the whole time drawing those differences.

HARRIS: Good stuff, Josh. Appreciate it. Keep it coming. Thank you, sir.

LEVS: You're welcome. Thanks, Tony.

COLLINS: The feds say it is the largest computer hacking and identity theft case they've ever had. Eleven people indicted. They're accused of stealing more than 40 million credit and debit card numbers.

Authorities say they targeted nine retailers including Barnes & Noble, OfficeMax, DSW Shoes, and TJ Maxx. The feds say programs were installed to capture credit card numbers, passwords and account information.

Our Susan Lisovicz is going to have more details on this coming up at the bottom of the hour.

HARRIS: Funny lady Teri Garr back on the big screen while battling a disease that is no laughing matter.

(COMMERCIAL BREAK)

COLLINS: In your "Daily Dose" of medical news, actress Teri Garr back on her feet and hitting the big screen again, even though she's one of 400,000 Americans suffering from an elusive disease.

CNN Chief Medical Correspondent Dr. Sanjay Gupta reports.

(BEGIN VIDEOTAPE)

DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT: Look at these.

TERI GARR, ACTRESS/COMEDIENNE: God, who is this?

GUPTA (voice-over): Actress/comedienne Teri Garr may be best known for her iconic roles in 1980s films like "Mr. Mom."

(BEGIN VIDEO CLIP, "MR. MOM")

GARR: Tell them I'll be right down.

(END VIDEO CLIP, "MR. MOM")

GUPTA: But here's something you may not have known. During all those movie premiers, award shows, when she was on top of the world, she began to notice something strange happening to her body.

(on camera): Do you remember the first time you ever felt the first signs?

GARR: It was around the time I did "Tootsie." I used to jog in Central Park. And when I finished jogging, I would limp.

GUPTA (voice-over): That limp send her to the hospital from the set of 1982's "Tootsie." Her role would later be nominated for an Academy Award.

GARR: I was trying to work, but I noticed that people, if they had any inkling of the idea that I was sick, people shunned me.

GUPTA: A tingling, a buzzing in her foot. It would come and go. She went to dozens of doctors around the country for answers. And Hollywood rumors started to swirl.

(BEGIN VIDEO CLIP, "FRIENDS")

GARR: No, no, it wasn't like that.

(END VIDEO CLIP, "FRIENDS")

GUPTA: In this 1997 clip from NBC's "Friends," she holds a hang and is sometimes seated. Fan sites speculated on Multiple Sclerosis.

GARR: I would just deny it. No, nothing's wrong. Always.

GUPTA (on camera): So it was denial more than covering it up or lying.

GARR: Yes.

GUPTA: But you did it for a reason. Because...

GARR: I wanted to work, yes.

GUPTA (voice-over): Garr officially came out with her Multiple Sclerosis diagnosis in 2002. That was 20 years after she first started feeling symptoms. At times, she's wheelchair-bound nowadays. She's been an MS advocate and has written an autobiography on her experiences.

GARR: So there you go.

GUPTA: Today she's in better health, walking and exercising, and back to work in two new independent films...

(BEGIN VIDEO CLIP, "EXPIRED")

GARR: Your mother was crazy!

(END VIDEO CLIP, "EXPIRED")

GUPTA: ... "Expired" and "Kabluey," released this summer.

(on camera): When you describe MS to people, how do you describe what you're experiencing?

GARR: I call it a scum-sucking pig of a disease because it's so erratic and it treats everyone in different ways. Some people don't get any symptoms. But I wasn't one of them.

GUPTA (voice-over): Dr. Sanjay Gupta, CNN, Los Angeles.

(END VIDEOTAPE)

COLLINS: To get your "Daily Dose" of health news online, log on to our Web site. You'll find the latest medical news, a health library, and information and diet and fitness. That address: CNN.com/health.

HARRIS: All those new fees to fly: pretzels, pillows, BYOB -- means bring your own blanket -- a la carte pricing, is it here to stay? We'll talk about it.

(COMMERCIAL BREAK)

HARRIS: Bottom of the hour. Welcome back, everyone, to the CNN NEWSROOM.

I'm Tony Harris.

COLLINS: Hi, everybody. I'm Heidi Collins.

A la carte in the air. Airlines charging extra for everything from peanuts to pillows, even those nice, cozy, soft blankets that they have. Will passengers pay or pass?

Here's CNN's Susan Candiotti.

(BEGIN VIDEOTAPE)

SUSAN CANDIOTTI, CNN NATIONAL CORRESPONDENT (voice-over): If you want to get comfy on JetBlue's leather seats with a pillow and blanket, get ready to pony up $7. We couldn't find any takers on a New York to Florida run.

UNIDENTIFIED FEMALE: I'll use my own pillow thank you very much.

CANDIOTTI (on camera): You have your own pillow.

UNIDENTIFIED FEMALE: I have my own pillow right here.

CANDIOTTI: I'll be darned. There it is.

(voice-over): Personal pillows, the latest add-on fee to help offset rising fuel costs. JetBlue also charges up to $20 for extra leg room, estimating it will step up revenue by $40 million this year.

UNIDENTIFIED MALE: I don't think it's fair to us as consumers.

CANDIOTTI: Whether it's $15 for your first checked bag on five airlines, or $2 for a soft drink and water, as U.S. Airways charges, passengers aren't happy.

(on camera): Will you pay extra for all those little things you used to get for free?

UNIDENTIFIED FEMALE: Not me.

CANDIOTTI: Not ever?

UNIDENTIFIED FEMALE: Never.

CANDIOTTI (voice-over): Southwest is the only airline not charging for extras, and poking fun at others who are.

UNIDENTIFIED MALE: Southwest. Fees don't fly with us.

JUSTIN BERGMAN, BUDGET TRAVEL: People are just sick of being nickel and dimed to death. They want to know what they're going to have to pay.

CANDIOTTI: OK, says Spirit Airlines CEO. In exchange for cut- rate fares, Spirit charges a la carte fees for most everything else.

BEN BALDANZA, PRESIDENT, CEO SPIRIT AIRLINES: You can decide to pack a little lighter. You can decide to take less baggage. You can decide to eat something before you get on the airplane and avoid the fee, as opposed to just raising the base fares $20 or $30 to cover and you have to pay that no matter what you do. So it puts control in the consumers' hands, and we like that.

CANDIOTTI (on camera): With airlines taking in millions, thanks to those new special fees, it looks like those a la carte items may be here to stay.

Susan Candiotti, CNN, Fort Lauderdale.

(END VIDEOTAPE)

COLLINS: All right. We've been talking about this for a couple of days now here in the CNN NEWSROOM. We want to talk some more about it today. We're wondering if there's end in sight for airline passengers. Kate Hanni is the founder of the Coalition for Airline Passengers' Bill of Rights, Health and Safety.

So Kate, what's the deal? What can the idea of a passengers' rights bill do for the folks flying these airlines today?

KATE HANNI, PASSENGERS' BILL OF RIGHTS ADVOCATE: Well, I have to tell you that in relationship to the airlines, the odds are good that the goods are odd.

COLLINS: OK.

HANNI: And you're not going to --

COLLINS: I meant what I said and I said what meant.

HANNI: That's right. That's right.

Well, it's so hard to keep up with all of these changing issues. I was thinking about the book "Who Moved the Cheese?" -- but how many times can you move the cheese on passengers before they just get frantic? We're getting so many calls -- so many more calls than last summer about unhappy passengers who are still being stuck on the tarmac, their bags now because of the added fees, which are now unbundled, are often being sent ahead of them because their baggage has value now, probably value than they do in many cases.

COLLINS: Yes, and I know you've launched this 24-hour hotline, trying to listen to more of what passengers are saying. They provide you with horror stories. And so, the traffic on that has increased?

HANNI: We're having 400 calls a day --

COLLINS: Wow.

HANNI: -- now on our hotline, all volunteer run. We get ahold of everyone immediately after they call us -- they are stuck on the tarmac or if their bags are lost. I had a woman call the other day who was stuck in an airport 20 hours. Prior to that, she had been an the tarmac five-and-a-half hours. She had her two toddlers with her. She then went -- this was at JFK on Delta -- she then went out, got on other jet, sat for two hours, got to her parents and her bags had been pilfered, her bags which had been sent ahead of her had been pilfered. She said, I would rather drag my tongue across the hot cement than fly again.

COLLINS: Wow, that's brutal.

HANNI: It is brutal.

COLLINS: What exactly can you do for them? How is any of this going to change? Because look, the fact of the matter is, we just heard from, I believe it was a Spirit airlines guy, the airlines do not want to raise that base ticket price to cover what they are claiming is fuel costs. We've been talking about the fuel costs for a long, long time. So they therefore offer up this a la carte sort of menu, if you will. What can you do? HANNI: Well, it's a deceptive practice and people need to contact their congressmen and they need to contact their senators immediately and tell them that they're not going to tolerate it. Because you go in to buy a ticket and with this unbundling, there's no uniform standard. Every airline charges a different amount for their biscuit, for their water, for their beverages, drinks, salads, whatever it is they're serving.

COLLINS: What you're saying is that people would be willing to pay that higher base fare, then?

HANNI: Yes. They want one simple fare, and they want to know exactly what they're getting in that fare. It's way too complicated for the average consumer now to really know. It's not noted on the front of their Web sites, other than baggage, what the fees are that they're going to need to pay. They're implementing Wi-Fi fees, Delta is now. You've got all of this unbundling that has people pretty frantic.

COLLINS: It's getting definitely complicated, that is for sure.

HANNI: And the flight attendants -- the flight attendants are having a real hard time also with the cash and the credit card machines. I just flew yesterday and watched them struggling and attempting to be nice to everyone while they were trying to make change and handle the credit card machines. It was really outrageous.

COLLINS: Well, we're watching all of these changes. We're going to stay on top of it certainly.

Kate Hanni, definitely want to thank you again for being with us. The Coalition for Airline Passengers' Bill of Rights, Health and Safety.

Thank you, Kate.

HANNI: Thank you, Heidi.

HARRIS: What the candidates are saying in their own words on the campaign trail. It is part of our continuing effort to help you make an informed choice in the election.

Here's Barack Obama last hour on his plan for dealing with the nation's energy crisis.

(BEGIN VIDEO CLIP)

SEN. BARACK OBAMA (D), PRESIDENTIAL CANDIDATE: We can do some work in improving domestic energy supplies. Right now oil companies have access to 68 million acres of land that they are not using, that they're not drilling on. And my attitude is, you use it or you lose it. Before we give you new leases, start using some of these leases that you already have. That's point No. 1.

Point No. 2 -- we need to give an energy rebate to families to give them some immediate relief -- the mother who is having to cut back on groceries because of rising gas prices, the guy I met who couldn't fill up his gas tank to go on a job search, didn't have the money. I've said that we need a thousand dollar energy rebate to provide families a little bit of relief over the next four to six months. And it's going to be particularly important going into the winter because there are a lot of folks who don't have a lot of income who are going to have to figure out how to heat their homes with oil prices so high. So that's short term.

But, unlike Senator McCain, I understand that that is not going to provide us with the short-term relief -- the long-term relief that's needed. That's just a temporary fix. If we're going to be serious about this problem, we need an all hands on deck approach, an effort from scientists and engineers, businesses, homeowners. All of us are going to have to get behind a new approach to energy.

We know this is the challenge that we can meet.

(APPLAUSE)

That's one of the reasons I voted for an energy bill in the Senate that was far from perfect but doubled our use of alternative energy. We've got to develop it. That's why, as president, I will put the full resources of the federal government and the full energy of the private sector behind a single overarching goal -- in 10 years, we're going to eliminate the need for oil from the entire Middle East and Venezuela. All of it.

(APPLAUSE)

Now, to do this, we're going to invest $150 billion over the next decade and leverage billions of dollars more in private capital to harness American energy and create five million jobs in the process, jobs that cannot be outsourced, good paying jobs that will be created right here in Indiana and all across the United States of America.

(END VIDEO CLIP)

COLLINS: And here now John McCain unfiltered. He talks about his plans for helping the country achieve energy independence.

(BEGIN VIDEO CLIP)

SEN. JOHN MCCAIN (R), PRESIDENTIAL CANDIDATE: Solving our national energy crisis requires, as I have mentioned, an all of the above approach, and that will require aggressive development of alternative energies like wind, solar, tide, and biofuels. It also requires expanding traditional sources of energy such as offshore drilling. And I noticed that there's confusing now information from Senator Obama as to whether he actually supports offshore drilling or not.

The fact is, we have to drill here, and we have to drill now, and we have to drill immediately. And it has to be done as quickly as possible. And I believe that it's vital that we move forward with that regardless of what we do on other energy issues. Senator Obama has said that expanding our nuclear power plants -- quote -- "doesn't make sense for America" -- unquote. He also says no to nuclear storage and no to reprocessing. I could not disagree more.

My experience with nuclear power goes back many years to being stationed onboard the U.S.S Enterprise, the first nuclear-powered aircraft carrier. I knew it was safe then, and I know it's safe now. And I propose a plan to build 45 new nuclear plants before the year 2030, and that would provide 700,000 jobs for American workers. That means new jobs. And if we really want to enable technologies of tomorrow like plug-in electric cars, we need electricity to plug into.

Now, we all know that nuclear power isn't enough and drilling isn't enough, and we need to do all this and more. And it's time that the Congress came back to Washington and went about the people's business. They just went on a five-week vacation without, even in the slightest way, addressing this nation's energy needs. People are paying $4 a gallon for gas, are sick and tired of a Congress that won't act in their behalf.

So, I'm urging Senator Obama to urge the Democratic leaders of Congress to call Congress back into session, come back from their vacation and act on our energy challenges. When I'm president of the United States, I'll call them back into session and I'll keep calling them back until they act in behalf of the interests of the American people in this compelling national security issue.

And it's time we got serious about energy independence. Our nation is sending $700 billion a year to countries that don't like us very much and some of that money ends up in the hands of terrorist organizations. We're going to achieve energy independence and we're going to get it done and we're going to use every available resource at our disposal.

That means the Lexington Project which I have been talking about now for a long, long period of time. I hope that the Congress of the United States will come back into session, address offshore drilling which is absolutely vital, address nuclear power and all of the other approaches that are vitally necessary to achieve energy independence.

(END VIDEO CLIP)

COLLINS: There you have it. The presidential candidates in their own words.

(WEATHER REPORT)

COLLINS: The $40 million card caper. Do they have your number? It may be the biggest credit card theft ever.

(COMMERCIAL BREAK)

HARRIS: So, here's another reason to have a real conversation with yourself about credit cards. Federal prosecutors have indicted an international group of alleged hackers, charging them with stealing millions of credit card numbers. Susan Lisovicz is at the New York Stock Exchange with details.

I just have such disdain for these -- Susan, good morning.

SUSAN LISOVICZ, CNN CORRESPONDENT: Good morning, Tony. And it's a follow-up to a story that we have been on from the beginning.

It's been called the largest identity theft case ever prosecuted in the U.S. Eleven men in five countries have been charged with a variety of crimes, including computer fraud, wire fraud and I.D. theft and conspiracy.

The hackers allegedly stole more than 40 million credit and debit card numbers. Think about that. They used wireless computer technology to capture the card numbers as they were being swiped at cash registers. The hacking occurred at very popular retailers, like TJMaxx -- TJX, I should say, which owns TJMaxx and Marshalls; BJ's Wholesale Club, OfficeMax, Barnes and Noble, Sports Authority and others.

These are big retailers, Tony.

HARRIS: Yes. Any idea how much money has been lost?

LISOVICZ: Not yet. The government has not yet estimated the total amount of fraud and losses to the retailers. But authorities do say the cards were used to withdraw tens of thousands of dollars from ATMs.

Some of the card numbers were also sold around the world via the Internet, resulting in millions in dollars in gains for the hackers.

(BUSINESS HEADLINES)

HARRIS: A message for China. Protesters scaling new heights, making a splash as the Olympic torch relay heats up across town.

(COMMERCIAL BREAK)

COLLINS: The Olympic torch is in Beijing and so are protesters. Their paths never crossed today but, it still raises reminders of the flame's long trip around the world.

CNN's Emily Chang has a look.

(BEGIN VIDEOTAPE)

EMILY CHANG, CNN CORRESPONDENT (voice-over): Go Olympics, go China, go Beijing, they cheer. At last, after 136 days, 87,000 miles and 21 countries across six continents, the Olympic torch has reached the host city.

WAN JUN, BEIJING RESIDENT (through translator): I was leading everyone to cheer and my throat is dry already. I was so happy, says one man. XU LONG, BEIJING RESIDENT (through translator): Holding the Olympics on our own doorstep is 100-year-old dream come true, says another.

CHANG: Astronaut Young Lee Wei, was the first to carry the flame on this leg, followed by basketball star, Yao Ming. It's the culmination of the longest, and perhaps, most controversial relay in Olympic history. Protesters disrupting it again and again, as the torch went around the world.

On the relay route in Beijing, not a protesters in sight. But on the other side of the city, activists managed to scale street lamps near the Olympic village. They fly the Tibetan flag and raise giant banners; One World, One Dream, Free Tibet, one reads. Chinese police reportedly detained four protesters from the U.S. and Britain, who had entered the country on tourist visas.

It's the first significant action by a human rights group in Beijing, ahead of the games. Activists for Free Tibet have long complained about political and religious repression by Chinese authorities in Tibet.

About the same time, President Bush was in South Korea, and talked about China's policies on religious freedom.

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: You ought to welcome people being able to express their minds. And to the extent that people aren't able to do that and people aren't able to worship freely is you know, I think is a mistake.

CHANG (on camera): President Bush heads to the Olympic opening ceremony in Beijing, later this week, despite calls for him to boycott based on China's human rights record. He says he doesn't need the Olympics to express his views. But wants to show respect for China, and cheer on the U.S. team.

Emily Chang, CNN, Beijing.

(END VIDEOTAPE)

HARRIS: So, the coffee is hot, the baristas may be too hot.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: And I just, oh god, I was like, no, you've got to be kidding me! In Belfair.

UNIDENTIFIED FEMALE: Well, I feel that we are looking at essentially a drive through strip joint.

(END VIDEO CLIP)

HARRIS: Pasties and a smile. A brewing trouble with coffee connoisseurs.

(COMMERCIAL BREAK) COLLINS: Sometimes the customer isn't always right. That definitely goes for this guy in Jacksonville, Florida. He called 911 three times because he says the workers at Subway didn't make his sandwiches the right way. We told you some of the details yesterday. Now the sheriff's office has released the 911 tapes.

(BEGIN AUDIO CLIP)

911 OPERATOR: I'm here. I was waiting until you finished yelling at me. You're at Atlantic and....

CALLER: I'm just upset right now. I'm on the phone with you, the lady just came up here and locked the freaking door and they've got both of the sandwiches they did not make right for me inside the store and... locked the door.

(END AUDIO CLIP)

(BEGIN VIDEO CLIP)

KEN JEFFERSON, JACKSONVILLE SHERIFF'S OFFICE: You can't misuse the 911 call center in that way. Because there are legitimate people with legitimate emergencies that need our help. And they need it right away. So, tying the lines up to talk about a sandwich is totally absurd.

(END VIDEO CLIP)

COLLINS: Yes. That's for sure. The guy's last two calls were complaints about the response time when officers got there. They responded, they arrested him for misusing 911.

HARRIS: Well, a coffee shop featuring barely clad workers has been shut down in Belfair, Washington. County officials say it's erotic entertainment and they ordered the baristas to dress up or close down. Owners of Espresso Gone Wild say, they will comply with the news rules. Another shop down the road is still doing a rather brisk business, No Strings Attached.

COLLINS: I get it.

CNN NEWSROOM continues just one hour from now.

HARRIS: "ISSUE #1" with Ali Velshi and Christine Romans, starts right now.