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Navy Calls in FBI Negotiators to Help Free American at Sea; First-Time Jobless Claims Tumble; Health Care for Veterans

Aired April 09, 2009 - 10:59   ET

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

TONY HARRIS, CNN ANCHOR: It is Thursday, April 9th, the sixth anniversary of the fall of Baghdad to U.S. forces.

Here are the top stories for you in the CNN NEWSROOM.

The Navy calls in FBI negotiators hoping to free an American at sea, a ship's captain held by pirates off Somalia.

Weekly unemployment numbers fall, but continuing jobless claims hit a new record for the 11th week in a row.

Scotland Yard's terror chief resigns after an embarrassing blunder. Listen to this. He carries a top-secret a document on an imminent terror raid in full view of cameras. Oh, my.

Good morning, everyone. I'm Tony Harris. And you are in the CNN NEWSROOM.

So here we go, day two of a hostage crisis on the high seas. FBI negotiators now in the mix. They're trying to win the release of the American captain on a U.S.-flagged ship. He is being held by armed pirates in the waters off Somalia. The ship's crew managed to retake their vessel after it was hijacked.

We're now told the Maersk cargo ship is being moved to Mombasa, Kenya, but the captain, Richard Phillips, remains surrounded by four pirates on a small lifeboat. And how about this? That boat is out of gas.

Moments ago, our Jason Carroll spoke with the father of Shane Murphy, second in command on the Maersk Alabama. He fills us in on what's going on with the ship and its crew.

(BEGIN VIDEOTAPE)

JASON CARROLL, CNN NATIONAL CORRESPONDENT: So, set the scene for us in terms of what you know. Shane has been directed to take the ship, he's in command of the ship now. And the way you understand it is he's now been directed to head towards Mombasa?

CAPT. JOE MURPHY, FATHER OF MAERSK ALABAMA SECOND-IN-COMMAND OFFICER: That's correct. I was just informed by the company, who have been absolutely wonderful for the families. They set up a hotline. They kept us well appraised of what's going on.

I was told that they are heading to Mombasa, Kenya, that they are about -- well, they're up near Mogadishu. It's about 50 hours of steaming time that they'll go alongside the pier at the regular Maersk line pier facility in Mombasa. Further, they have placed an 18-manned armed guard force on the ship to ensure they get there safely. When they get alongside, the really even better news is the company has gratuitously agreed to change out the entire crew.

CARROLL: So, your son Shane and the others will be heading home then?

MURPHY: They will be heading home, yes.

(END VIDEOTAPE)

HARRIS: On the high seas, hostage drama is playing out under the watch of a USS Navy destroyer. A spokesman for the Maersk shipping line says the USS Bainbridge is at the scene and in command.

Let's check in with CNN Pentagon Correspondent Chris Lawrence.

And Chris, as we talk to you this morning, the standoff is in its 35th hour, and negotiations haven't been going on that long, but obviously those negotiations are clearly the part of the story that we're most interested in at this hour.

What can you tell us about how they're going?

CHRIS LAWRENCE, CNN PENTAGON CORRESPONDENT: Well, Tony, we've just confirmed with a senior defense official that the negotiators are on the phone with the lifeboat, with the pirates on the lifeboat. Now, we're not sure exactly if that means that the -- we know that the negotiators are here in the United States and they're talking by phone. We don't know if that communication is being patched through the Navy, and then the Navy is talking directly, or if the negotiators are directly talking. But we do know that the U.S. government is in touch by phone with these pirates on this lifeboat.

We are not being told anything about specifics of the negotiations right now, but again, the Bainbridge is there. We're also told that the P-3 surveillance plane is still in the air, that there are UAVs, these unmanned drones that are also in the air, and those are also equipped with night vision.

That becomes important, because as I look at the clock, it's about 11:00 Eastern, which means it's about 6:00 at night there. So the sun will be setting at some point fairly soon there, and at that point, the Navy will still be able to keep eyeballs on this lifeboat through some of its technology.

HARRIS: OK, Chris. If you would, keep us posted on that and the developments on these negotiations.

Pentagon Correspondent Chris Lawrence for us.

A little more now about the USS Bainbridge.

The warship is relatively new, commissioned in 2005. Its home port is Norfolk, Virginia. The ship's crew numbers 370.

The guided missile destroyer carries a pair of Seahawk helicopters. The United States and other nations deployed warships off Somalia late last year to guard against piracy.

Now, despite the international effort, piracy remains a multimillion-dollar business, and the Gulf of Aden one of the most notoriously lawless stretches of water.

Former U.S. Navy Captain Alec Fraser joins me. He now heads up Turner Properties.

And Alec, as always, good to talk to you. Tremendous help to us in our coverage of the story yesterday.

Psychologically, we talked a moment ago about the real firepower on the Bainbridge. Psychologically, how much pressure is there on these pirates now, as you are essentially looking down the barrel -- I'm being dramatic here -- of this hulking destroyer?

ALEC FRASER, FORMER U.S. NAVY CAPTAIN: They're in a lifeboat that has a cover to it with a couple of hatches. It's meant to be in a hurricane.

It can roll over. It can protect these guys. And it has food and water in it to be able to do it. But they can't look out very well, so they're sort of in a dark area.

They can hear the boats going around them from the Bainbridge, and they're probably worried about, well, you know, how am I going to get out of here? We don't have any gas. And so you know, I've got this captain here. What's next?

HARRIS: You know, you mention the captain, and there are reports that the captain, in essence, said look, to these pirates, look, take me and let the crew go. If that turns out to be the story, would you be surprised by that kind of move from the captain?

FRASER: Not at all. The captain's job, number one, is the protection of a crew, whether it's on a warship or a merchant ship. The crew comes first. And anything is not worth a loss of life.

HARRIS: Yes.

I've got to ask you -- you mentioned just a moment ago that these pirates may be thinking, how do we get out of this mess at this point? We understand that the FBI is part of the negotiating team. We know that the U.S. government, as Chris just mentioned, is involved, and that the negotiators are stateside, and they're probably being patched in for the communications with the pirates.

I'm just sort of curious, do you believe that we can possibly see a successful negotiation here? Because it looks, at first blush, as though these pirates certainly can't be trusted. The crew on the Maersk clearly was into negotiations with the pirates -- hey, return our captain, we'll return your captured pirate. And that deal fell apart.

FRASER: Right.

HARRIS: So, can they be trusted, and what are your thoughts on negotiating with these pirates?

FRASER: Well, there are two things to negotiate. I'm not an official negotiator...

HARRIS: Sure. Sure.

FRASER: ... but there are two things to negotiate. One would be the life of the captain.

HARRIS: Absolutely.

FRASER: They want to keep their lives, and they probably want money, too. So, there's probably two different sets to the negotiation.

So, getting one back and getting back ashore again, so they don't stay out at sea in this lifeboat. And they've just got a few days to do this, and the pressure, like you said earlier, is going to start building. So, the negotiations are probably focused on the life of the captain.

HARRIS: Got you.

When we sort of get some kind of real clear resolution on this, can we have you back? And can we talk about these high-transit lanes in these seas and what ultimately might be the answer moving forward to protect more of these vessels? Can we do that with you, Alec?

FRASER: I'd be glad to.

HARRIS: Yes. Appreciate it. Thank you for your time again.

Jobless claims drop, as we turn to issue #1, but are still at record levels. We will explain the numbers and what they could mean for your bottom line, coming up.

(COMMERCIAL BREAK)

(WEATHER REPORT)

(COMMERCIAL BREAK)

HARRIS: OK. A quick reminder here. We will bring you President Obama's remarks on veterans' health care live in the NEWSROOM, scheduled for 11:45 Eastern Time. That's 8:45 Pacific.

We will also hear -- you'll like this -- from one of the audience members in the noon hour on how the president's plan will help veterans.

First-time jobless claims took a bigger-than-expected tumble last week, but continuing benefits, that's an entirely different story.

Let's get the numbers from "YOUR $$$$$" co-host Christine Romans. Christine is in New York for us.

Christine, good to see you.

CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: Hi, Tony.

HARRIS: So, a better-than-expected report on first-time unemployment claims. And so far, no takers on the idea I was trying to float in our meeting that the unemployment story may be leveling off a bit.

ROMANS: Well, you know, Tony, look, I see your optimism.

HARRIS: Thank you.

ROMANS: I see that you want to focus on the fact that, you know, the number of people filing for unemployment benefits for the very first time in the most recent weeks, 654,000, it's done 20,000 from the week before. But we keep getting these prior weeks revised a little bit up. And then when you look at the continuing claims -- these are the number of people who are continuing to get jobless benefits, who are continuing to get a check -- you've got 5.8 million people.

That's a record. And we have set a record in that for 11 weeks in a row. So what we know is that an awful lot of folks are filing for unemployment benefits.

And we can try to maybe glean that maybe the last few weeks it's been stuck up here at a high level, and that's some sort of leveling off. But frankly, the economists say this is what we call a lagging indicator.

It means these numbers are going to stay bad or get worse until the economy starts to recover. And then even after the economy recovers, Tony, these numbers will still be pretty ugly.

A lot of folks saying the consensus is for a jobless recovery, and that means the economy will start to recover. It will take longer for you to feel it in your job.

One thing -- even if you have your job, Tony, one thing that I noticed from the big jobs report on Friday, you know, the week, the workweek now in this country, is 33.2 hours.

HARRIS: Right.

ROMANS: Think of that. It's a 33-hour workweek in this country. What that's showing you is that a lot of employers are cutting back on the hours so they don't have to cut the jobs in some cases.

HARRIS: Good point.

ROMANS: So even if you're not one of these people who's one of these statistics, you might be feeling this at work already.

HARRIS: Boy, this idea of a jobless recovery, that's a little strange.

ROMANS: Well, you know, we hope they're wrong. You know, we hope there is a lot of stimulus in this economy and things really come back, and come back well, but we just don't know yet.

HARRIS: No, we don't. All right, Christine. Appreciate it. Thank you.

ROMANS: Sure.

HARRIS: As for the market, stocks on Wall Street surging. What's going on here? Thanks to some surprising news from one of the nation's biggest banks.

(STOCK MARKET REPORT)

HARRIS: Protecting the health of the men and women who protect the country. President Obama talks about improving health care for the nation's veterans. His remarks expected in about 30 minutes or so. Live coverage right here in the CNN NEWSROOM.

CNN's Kate Bolduan is at the White House with a preview.

And Kate, I'm really interested in these remarks, because the president is particularly focused on trying to come up with ways of pumping more money into the VA system.

KATE BOLDUAN, CNN CORRESPONDENT: Yes, and that includes the budget proposal, Tony. Let's get to that in a second.

HARRIS: OK.

BOLDUAN: I actually just got a little bit of a preview of the details of this announcement we're hearing about, that we'll be learning more about when the president makes his announcement. But what I'm seeing here is it's called a joint virtual lifetime electronic record. As I'm skimming through this announcement briefly, it's talking about electronic medical records.

HARRIS: I see.

BOLDUAN: We talked about that quite a bit, but allowing, streamlining the transition from the Defense Department to the Veterans Affairs Department. And of course, you know, Tony, the bureaucratic red tape, that has been a big criticism of veterans affairs for veterans trying to get health care. They said there is just too many levels of bureaucracy to work through. And so, this, the administration and the president will be talking about, as they say, is one step towards trying to clear that up and streamline the process, which is going to be the announcement.

HARRIS: And the interesting point there is that the administration has said repeatedly that this is a way to ultimately save money, correct?

BOLDUAN: Correct.

HARRIS: Yes.

BOLDUAN: And they said that before in other areas, talking about medical records.

HARRIS: That's right.

BOLDUAN: And they're applying it here as well. But you want to talk about the budget.

HARRIS: Sure.

BOLDUAN: He's also going to be mentioning that as well. The money here is a very big deal.

We looked it up. According to the VA, there are 23.4 million veterans alive in the U.S. today, and the president, at least in part during his 10 minutes or so that he'll be speaking close to the end of the hour, he's going to be talking about the budget proposal.

An 11 percent increase for the VA in the 2010 budget proposal over five years. That's a $25 billion increase. So the president and the Department of Veterans Affairs are really talking about increasing not only funding for the department, but also trying to boost funding for health care. He'll be joined at this announcement by Defense Secretary Gates, as well as Secretary of Veterans Affairs Eric Shinseki.

So we'll be hearing more about that a little later.

HARRIS: Awesome. Awesome. Awesome.

All right, Kate. Good to see you.

BOLDUAN: Thanks.

HARRIS: At the White House, Kate Bolduan for us.

And of course, we will bring you President Obama's remarks on veterans' health care live in the NEWSROOM. That's coming up this hour, scheduled for 11:45 Eastern, 8:45 Pacific. And we will also hear from one of the audience members in the noon hour on how the president's plan will help veterans.

Talk about a huge blunder, Britain's terrorism chief accidentally exposes a top-secret operation. Quick action from British police today to take down an alleged al Qaeda cell.

(COMMERCIAL BREAK)

HARRIS: British police have arrested 12 members of a suspected al Qaeda cell, a major counter-terror operation in northwest England, but a security leak put the entire mission at risk. Now Britain's anti-terror chief is out of a job.

CNN Senior International Correspondent Nic Robertson standing by in London for us.

And Nic, this is incredible. Talk to us about the kind of security leak, because it's amazing.

NIC ROBERTSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, it is incredible, Tony, and it's being called here a blunder. And the leak actually came at the hands of that counter-terror chief himself.

It was in his hands, a document he was taking in to the British prime minister to brief him on this counterterrorism operation, these arrests that they had planned in this area in Manchester, Liverpool, Lancashire, and the northwest of the country. And he carried this piece of paper into the meeting, and it was photographed as he went in to 10 Downing Street.

The police then were forced to act. Of course, it wasn't the way they wanted it. They had to do it in daylight.

There were a lot of armed police involved. It caused a lot of concern in the communities around here, but it went down in this way.

But at the end of the day, there is a lot of praise for the police in their professionalism. And the police chief here is saying that although their hand was forced, this operation had to go ahead anyway. And then one of the reasons it had to go ahead, because this terror plot looked like it could have come to fruition soon.

HARRIS: And Nic, it's sort of interesting that the blunder, as it's being described, forced, as you mentioned, a change in the operation. And in essence, that really did put more people, more innocents at risk, didn't it?

ROBERTSON: Absolutely. When you have armed police on the streets chasing down terrorists in a university, breaking into houses such as the one behind me here, which is what happened, then the people in the community around -- because it's daylight it was late afternoon, they were going about their daily business -- it puts all those people at risk, as well as the officers, because they don't have the element of surprise. Normally, these counterterrorism raids are conducted in the early hours of the morning. The people they're targeting are normally asleep in bed. And they didn't have that on their side this time -- Tony.

HARRIS: Well, let's drill down on the case a bit here, Nic. And I'm asking, how much certainty do we have on the case?

Were these men trained in Pakistan? I know we're talking about a number of Pakistani nationals here. Is the thinking that they were reinserted into Great Britain by al Qaeda to carry out a spectacular al Qaeda-style attack?

ROBERTSON: You know, Tony, we have a number of threads of information on that. One we just learned from the police chief here in Manchester, that 11 of those 12 people arrested were from Pakistan. We understand that they were in Britain, on student visas, studying at universities here.

We also understood from people with knowledge of the operation that there were definite ties to al Qaeda, to what's described as core al Qaeda, top al Qaeda people. Ties, indeed, to a person who is behind another terror plot in Britain to blow up planes, or at least hijack planes flying to the United States. So, this goes right to the top of al Qaeda, and there is a concern, although we don't have details on it yet, that there could have been a very big bomb in the making.

HARRIS: Boy. All right.

Our Senior International Correspondent Nic Robertson for us.

Nic, as always, good to talk to you. Thank you.

Taken hostage on the high seas. While the negotiations go on, we'll look at the strange business of piracy.

(COMMERCIAL BREAK)

HARRIS: FBI negotiators called in to help end a hostage crisis on the high seas. Here's what we know.

The captain of a U.S.-flagged ship is being held on a life boat by pirates who hijacked his vessel off the coast of Somalia. The life boat is out of gas. The ship Maersk Alabama is now moving to Mombasa, Kenya. Its crew managed to retake their vessel after it was hijacked.

Meanwhile, the Navy is in command of a hostage situation. It has positioned a U.S. missile destroyer in the region. The U.S. State Department addressed the piracy problem just moments ago.

Spokesman Robert Woods says it is an international problem.

(BEGIN VIDEO CLIP)

ROBERT WOOD, STATE DEPARTMENT SPOKESMAN: ... for the international community. And so, we'll just have to see how this particular incident plays out and then how we go forward in terms of dealing with future acts of piracy.

But as I said, there are some mechanisms that we do have in place right now for dealing with the piracy question. So, we'll just have to see how things go forward.

QUESTION: But is there an issue of mixed signals? Because apparently, FBI hostage negotiators are playing some role now, and in the past, there's been widespread publicity about some shipping companies actually paying ransoms.

WOOD: Well, I can't speak for shipping companies, and I don't think -- we're certainly not sending any mixed signals here. Our focus right now is trying to make sure that we can -- to make sure that the crew is safe and we get the ship returned. But that's about all I can give you on this at the moment, Charlie. We're trying to deal with this current situation. And then as I said, we'll be looking to see what more we can do to prevent these types of acts from taking place.

(END OF VIDEO CLIP)

HARRIS: OK, interesting to note that London is the negotiation and insurance hub for hijackings like this.

Let's go there live now to CNN's Atika Shubert for details on the business, really. Atika, good to see you, first. Pirating is clearly an organized business. How much do we know about how it works, the anatomy of one of these hijackings, if you will?

ATIKA SHUBERT, CNN CORRESPONDENT: Well, what we know is that once a ship is hijacked, the pirates come aboard, there's about a 48 to 72-hour window where the pirates will try and bring the ship closer to shore, make contact with the ship owners and make their demands.

Now, for ship owners, this is a worst-case scenario, but the costs are already mounting up for them even before the ship sets sail. Insurance premiums in that area have gone up tenfold.

Now, a lot of ship crews have to be trained in evasive measures, defensive tactics, anything to keep the pirates from boarding. Then, if a ship is actually hijacked, it means that negotiations.

And it's not just any sort of negotiations. Hostage negotiators have to be called in, transporting a ransom, which can be millions of dollars. All of this can mean that the cost associated with a hijacking can be as much as the ransom itself - Tony.

HARRIS: Whoa! OK, so, obviously, at this point, traveling in this region is dangerous. I'm just curious, is there an alternate route, maybe?

SHUBERT: Well, the easiest way to go from the Middle East to the U.S., for example, is through that Gulf of Aden. It is possible to go through, around the Cape of Good Hope, around Africa, but that would cost a lot more. The fuel costs for a Saudi oil tanker going to the U.S. would be $3.5 million more. So, the fact is, these are costs that are just going to have to be factored in one way or the other.

HARRIS: All right, CNN's Atika Shubert for us in London. Atika, appreciate it, thank you.

And next hour, we will be talking with CNN security analyst Mike Brooks about how those negotiations usually turn out and what we might see in this particular situation.

Turning now to issue number one, the economy and your money, President Obama says you can save on your mortgage right now by refinancing. At a White House roundtable this morning, the president urged homeowners to take advantage of low interest rates and to also beware of scams. (BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: As people have become aware that the government is helping to promote refinancing, we're starting to see some scam artists out there who are contacting people, saying you can refinance your home, the government's got a program, we're ready to help. Oh, but by the way, first you've got to pay some money. I just want everybody who's watching today to know that if somebody's asking you for money up front before they help you with your refinancing, it's probably a scam.

(END OF VIDEO CLIP)

HARRIS: OK, the president says the increase in refinancing is a sign federal programs to help homeowners are actually working.

And just a reminder, we're expecting remarks from President Obama shortly on improving veterans health care. That is scheduled for 11:45 Eastern time, about 10 minutes from now, 8:45 Pacific. Live coverage for you of course in the CNN NEWSROOM.

A difficult decision out of Detroit, 23 schools may be shut down, 600 teachers laid off. The overseer of public schools is trying to deal with a projected deficit of more than $300 million.

(BEGIN VIDEO CLIP)

ROBERT BOBB, EMERGENCY FINANCIAL MANAGER, DETROIT SCHOOLS: The bottom line is that we have too many buildings with too few students. And so, the reality is that buildings, schoolhouse buildings will have to be closed and consolidated. Following a series of input from the community, I will make my final decision on these rounds of closings by May 8th.

(END OF VIDEO CLIP)

HARRIS: If the closures are approved, more than 7,500 children will have to switch schools this fall.

Online hide-n-seek. That's what a newspaper says some lawmakers have created when it comes to acknowledging their earmarks. One of our favorite stories of the day. Josh Levs is covering that for us and he's here to explain.

Come on, Josh.

JOSH LEVS: It's interesting, isn't it?

HARRIS: Yes, it really is. I love this story.

LEVS: You know you and I have done so much talking about earmarks.

HARRIS: Yes.

LEVS: It's a huge topic, concerns a lot of Americans. This newspaper "The Hill" did something really fascinating. They went through hundreds of lawmakers' web pages in order to see where these appropriations are being posted and how hard it is to find. Now I need a tour guide for this one, so joining me right now from Washington from "The Hill" is Reid Wilson, a staff writer there.

Hey there, Reid.

REID WILSON, THE HILL: Hi Josh, how are you doing?

LEVS: Great.

OK, so here's what I'd like you to do. We're going to zoom in on the board and I want you to trace me through how hard it is to find appropriations in some cases.

We're going to start with Representative Joseph Crowley, one of the ones that you all point to and you say he's one that requires scouring. What do we do to get to his appropriations, his earmarks?

WILSON: Well, Crowley is a democrat from New York. The first thing you've got to do is go up to his bar there and click on the Seventh District, which is the district he represents up there.

LEVS: OK.

WILSON: Click on...

LEVS: OK, right there. That brings us to this, the Seventh District.

WILSON: Good. Now go down to local issues.

LEVS: Down to local issues? We've got the local issues right there.

WILSON: And now scroll...

LEVS: Click on that.

WILSON: Click on that, scroll all the way down, and you'll find the fiscal year 2010 appropriations requests. Those are...

LEVS: OK. You scroll all the way down to the bottom there and then it brings you to this, which is actually another link to a news release.

WILSON: There you go.

It takes a couple of clicks to get there, but eventually, you'll find Joe Crowley's appropriations proposals.

LEVS: OK, now we're going to go over to another one that may have changed after you guys published this two days ago. This is on the other side, Steven LaTourette.

Talk me through this one. WILSON: Yes, Steve LaTourette is a republican from Ohio.

Before, we put up some screen shots of what these members' websites looked like, and before we published this story, you had to scroll all the way down past a number of other issues. Issues like the Great Lakes and Social Security and everything else that Congressman LaTourette's been doing.

LEVS: This is your screen shot right here. I'm showing it.

WILSON: There you go.

LEVS: When you guys captured it, you had to go all the way down to "other issues," then click on something else and something else to get there, right?

WILSON: Yes.

LEVS: But now he has posted it at the very top. You just go to his main page and click on issues and you get to it there.

WILSON: There you go. It's right there. So hopefully, some of these members are making their earmarks a little more accessible.

LEVS: Hey, are you guys going to take any credit for that?

WILSON: I don't think so. We let the members do what they say.

LEVS: All right listen, before we go, there are some who are actually a lot more open the way you guys say it, and make it really accessible. I want to show a couple of those starting with Representative John Murtha, right here.

WILSON: Yes, John Murtha is a congressman who has been known for his skill in getting earmarks. He's from a district just outside of Pittsburgh, somebody who's a top appropriator, has gotten appropriations for years.

LEVS: Sure, just show me where to find it. Where's the link?

WILSON: Its right up on the tool bar on the main screen.

LEVS: There you go.

WILSON: You can see his appropriations.

LEVS: Under issues, there you go, right there at the very top.

HARRIS: I love this.

LEVS: Then we have one more here Congressman Glenn "G" Thompson. His, look at that, right there on the main banner.

WILSON: Front and center.

LEVS: All right, well listen, before I let you go, give me the big picture here. When you take a look at how, you all looked at hundreds of examples here, hundreds of lawmakers' web pages. Overall, how are the lawmakers doing in keeping with this new rule that they're supposed to post these things somewhere on their websites?

WILSON: Well a number of lawmakers -- a number of watchdog groups have determined that about one in five lawmakers are having difficulty actually complying with this, making their earmarks open and obvious to all their constituents. The rest, though, are doing some form of good. Most people are making their earmark requests front and center, putting them right up there.

LEVS: Give me a quick number, because we spoke before we went on air. I think you said one in five are doing a pretty good job?

WILSON: It's about one in five who are doing a poor job, who have not complied.

LEVS: Doing a poor job. And that the rest is kind of spread out. We're going to tie it up here, credit where it's due. I want to thank Jared Allen, who is your main writer on that story, but couldn't join us as well today. Reid, thank you so much for being our source on air.

WILSON: Thank you, Josh.

HARRIS: That is terrific. Hey, can we revisit this some time, I don't know, in the weeks and months ahead and just see if we can improve on that one in five number just by calling folks out?

LEVS: That's a good idea. Let's check back in a month. Let's do it.

HARRIS: Let's do it. Thanks guys, appreciate it. Good stuff.

We will bring you President Obama's remarks on veterans health care live in the NEWSROOM, coming up any minute now, scheduled for 11:45 Eastern time, 8:45 Pacific. We will also hear from one of the audience members in the noon hour on how the president's plan will help veterans.

It is golf's premier event. We will take you to day one of the Masters.

(COMMERCIAL BREAK)

HARRIS: So, the skies are blue, the azaleas blooming. The 73rd Masters tees off today. I guess play started at about 8:15 or so this morning with Tiger Woods looking for his fifth green jacket.

Our man at the Masters is Larry Smith, live from Augusta National.

Larry, great to see you. And so much talk about Tiger Woods coming in here on this quest for his fifth green jacket, having performed up to Tiger standards just a couple of weeks ago at Ernie's big event. LARRY SMITH, CNN SPORTS CORRESPONDENT: Yes, down in Bay Hill, he got that win. And that was really big for him, Tony. I was the last reporter to interview him after his dramatic win at Torrey Pines back in June at the U.S. Open. And even then, you knew something was wrong.

When he announced a couple days later that he was going to shut it down and undergo reconstructive knee surgery, you knew at that point he was going to come back in less than the one year everyone was talking about.

You know he circled this date as the one he wanted to come back for, the first major of the year to try to get back on. It looks like now his game certainly is back, with getting that win a couple of weeks ago. And you feel like its complete now. It's like the PGA tour got a taste of what it's like -- like the NBA got a taste in the 90's of what it was like without Michael Jordan, well, you got the same taste at what the PGA tour is like without Tiger Woods and now he's back.

HARRIS: Well I have to tell you, another one of the big stories this year is Greg Norman. Talk about star-crossed at a particular event. That is Greg Norman's history there at Augusta, but he is back on the strength of his performance, what, at the open championship last year and looking great.

What is he, 53, 54 years old? Look at the shape on this guy. He looks terrific!

SMITH: He does look terrific. He just turned 54 in February.

He hasn't played here since 2002, and you're right, he didn't qualify. But because of his showing at the British Open where he led, it looked like he might get a third British Open title, but he fell short in that major last July.

He is back here. But you know it's funny that you think of Norman and the Masters, all the massive collapses, the collapse in '96 to Nick Faldo, falling in the playoffs in '87 to Larry Mize.

And back then, though he was a fair golfer, but he said certainly, times have changed in the two decades since.

(BEGIN VIDEO CLIP)

GREG NORMAN, BRITISH OPEN CHAMPION 1986 & 1993: When I used to come in here in the '80s and '90s and you expected to do well, people pulling for you and other people were not pulling for you, too. Now, it seems like everybody's pulling for me, which is nice, you know?

And so, you know, I was just in the locker room, and you know, it's different. Even the players, like I said, the players say, "Hey, play well, play well, play well." I know in the '80s, they weren't going up to me and saying, hey Greg, play well, play well, play well.

Sure. So, it's just, you know, it's just unique. (END OF VIDEO CLIP)

HARRIS: That's good.

SMITH: Shark Greg Norman. That's pretty good. Certainly a fan favorite, also respected by the players. He really gives a lot of credit to his new wife, Chris Everett, the former tennis star. He says being married to somebody with another athlete's mentality and the losses that she's suffered over the years to Martina Navratilova, the struggles he's had here, has really helped his game. And he believes that he's got the game to contend for his first title in a major on U.S. soil here this weekend.

HARRIS: Boy, and you have some young guns -- some young studs who are part of the story at this year's Masters. I can't wait to see how it all unfolds.

And Larry, take that green jacket off. Man, you haven't earned it. What are you thinking, Larry Smith?

SMITH: This is the closest I'm going to come to it. One day, that's all I've got.

HARRIS: Live from Augusta National. Larry, good to talk to you. See you on Sunday.

SMITH: All right, take care.

(WEATHER REPORT)

HARRIS: And again, just another reminder, we're going to bring you President Obama's remarks on Veterans health care live in the CNN NEWSROOM. We understand the president may actually be making the short walk from the White House to the Eisenhower executive office building. We usually get a shot of that. Maybe we still will. We will also hear from one of the audience members in the noon hour on how the president's plan will help veterans.

But still to come, the latest on the high seas hostage situation off Somalia. The U.S. Navy isn't the only force in the region dealing with pirates.

(COMMERCIAL BREAK)

HARRIS: Very quickly now, let's take you to the Eisenhower executive office building. The president shortly in just a couple of minutes to make remarks on improving Veterans health care.

The president about to be introduced. Why don't we listen.

UNIDENTIFIED MALE: Good afternoon, Mr. President, Secretary Gates, Secretary Shinseki (ph) ladies and gentlemen. I would like to recognize the many Veterans service organizations and military service organizations in attendance today. I would also like to recognize the medical care providers, wounded warriors and their families who are present from Walter Reed Army Medical Center, the National Naval Medical Center Bethesda and the Washington D.C. Veterans Affair Medical Center.

President Obama has always been a reliable advocate for our veterans and a strong supporter for a 21st century Veterans Administration. He has spoken eloquently and with sincerity of America's solemn obligations to our veterans who have bravely served our nations in time of war. As he has stated many times, it is a commitment that begins with the oath of enlistment and commissioning and continues through as our veterans retire their uniform to the day that they are put to rest and it carries on with their families. I am proud to stand here today as our president takes the first step in delivering on that promise as he affirms his commitment and a pledge he made to America and its veterans on building a 21st century Veterans Administration.

Ladies and gentlemen, it is my pleasure and honor to introduce the president of the United States, President Barack Obama.

(APPLAUSE)

OBAMA: Thank you, John, for your outstanding service, and your friendship is greatly appreciated. I want to thank my two outstanding Secretaries who are behind me -- Bob Gates, who is doing just an extraordinary job over at the Pentagon, and General Shinseki, now Secretary Shinseki, who has served our country with extraordinary valor.

I also want to acknowledge all the wounded warriors and veterans and all those who care for them who are here today. You make us very, very proud.

To the VSO and MSO leaders who work hard on behalf of those who serve this nation, thank you for your advocacy and your hard work. As I look out in the audience, especially seeing these folks in their uniforms, I am reminded of the fact that we have the best fighting force in world history, and the reason we do is because of all of you. And so I'm very grateful for what you've done to protect and serve this country.

It is good to be back. We've had a productive week working to advance America 's interests around the world. We worked to renew our alliances to enhance our common security. We collaborated with other nations to take steps towards rebuilding the global economy, which will revitalize our own.

And before coming home, I stopped to visit with our men and women who are serving bravely in Iraq . First and foremost, I wanted to say "thank you" to them on behalf of a grateful nation. They've faced extraordinary challenges, and they have performed brilliantly in every mission that's been given to them. They have given Iraq the opportunity to stand on its own as a democratic country, and that is a great gift.

You know, we often talk about ideals like sacrifice and honor and duty. But these men and women, like the men and women who are here, embody it. They have made sacrifices many of us cannot begin to imagine. We're talking about men like Specialist Jake Altman and Sergeant Nathan Dewitt, two of the soldiers who I had the honor to meet when I was in Baghdad . In 2007, as Specialist Altman was clearing mines so that other soldiers might travel in safety, he lost his hand when an IED struck his vehicle. And at Walter Reed, he asked to relearn the skills necessary to perform his duties with a prosthetic so that he could rejoin his old battalion. Sergeant Dewitt was severely injured in an attack last September, but he refused to let his injuries stop him from giving first aid to his wounded comrades. Today, they're both back alongside their fellow soldiers in their old units.

And we're talking about women like Tammy Duckworth, who I think is here -- Tammy, where are you? There you are -- a great friend who lost her legs when a rocket struck the Black Hawk helicopter she was piloting over Iraq . And when she returned home, she continued to serve her country heading the Department of Veterans Affairs in Illinois , and she serves her country still as my nominee for Assistant Secretary of the Department of Veterans Affairs.

We're talking about heroes like all the service members and veterans of the United States Armed Forces, including the veterans who've joined us here today -- many who gave up much yet signed up to give more; many with their own battles still to come; all with their own stories to tell.

For their service and sacrifice, warm words of thanks from a grateful nation are more than warranted, but they aren't nearly enough. We also owe our veterans the care they were promised and the benefits that they have earned. We have a sacred trust with those who wear the uniform of the United States of America . It's a commitment that begins at enlistment, and it must never end.

But we know that for too long, we've fallen short of meeting that commitment. Too many wounded warriors go without the care that they need. Too many veterans don't receive the support that they've earned. Too many who once wore our nation's uniform now sleep in our nation's streets.

It's time to change all that. It's time to give our veterans a 21st-century VA. Over the past few months we've made much progress towards that end, and today I'm pleased to announce some new progress.

Under the leadership of Secretary Gates and Secretary Shinseki, the Department of Defense and the Department of Veterans Affairs have taken a first step towards creating one unified lifetime electronic health record for members of our armed services that will contain their administrative and medical information -- from the day they first enlist to the day that they are laid to rest.

Currently, there is no comprehensive system in place that allows for a streamlined transition of health records between DOD and the VA. And that results in extraordinary hardship for a awful lot of veterans, who end up finding their records lost, unable to get their benefits processed in a timely fashion. I can't tell you how many stories that I heard during the course of the last several years, first as a United States senator and then as a candidate, about veterans who were finding it almost impossible to get the benefits that they had earned despite the fact that their disabilities or their needs were evident for all to see.