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Conservative Radio Host Banned from Britain; Face-Transplant Recipient Appears Publicly; Secretary of State Praises Afghanistan, Pakistan Cooperation; Taliban Leader Vows to Kill U.S. Soldiers in Afghanistan

Aired May 06, 2009 - 13:00   ET

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

KYRA PHILLIPS, CNN ANCHOR: Thanks, Don.

Well, we've got one eye on the storms pushing across the southeast this hour and pushing forward on a war that's getting bigger and a foe that's getting bolder.

(BEGIN VIDEO CLIP)

ZABIULLAH MUJAHID, SPOKESMAN FOR AFGHAN TALIBAN LEADER MULLAH OMAR (through translator): Afghanistan will be the Vietnam for them. I want to tell you clearly, we will win and they will die.

(END VIDEO CLIP)

PHILLIPS: In the NEWSROOM, Nic Robertson's exclusive reports from inside the Taliban. A chilling backdrop to high level meetings at the White House.

(BEGIN VIDEO CLIP)

DR. FRANK PAPAY, CLEVELAND CLINIC: Little children would shy away from her and actually be scared of her.

(END VIDEO CLIP)

PHILLIPS: Well, not any more. After five years, 30 operations and one historic transplant, Connie Culp is a new woman. Her story, her words this hour.

Hello, everyone, I'm Kyra Phillips, live, CNN world headquarters in Atlanta, you're in the CNN NEWSROOM.

When the Taliban controlled Afghanistan, al Qaeda flourished and Americans died half a world away. Today the Taliban not only have a foot hold in Afghanistan, they are fighting for ground in Pakistan. A country with nuclear weapons. Both of those country's presidents in Washington today for separate three way meetings at the state department and starting next hour with President Obama at the White House.

Defense Secretary Robert Gates won't be there though, he's in Afghanistan where U.S. troop strength will grow to more than 60,000 in the next few months. And for his part, the Pakistani leader is promising to work with the Afghan leader to fight their common enemies. President Obama wants them both to work harder but he may well get an earful from both men over civilian casualties from U.S. attacks. Secretary Clinton faced that issue head-on.

(BEGIN VIDEO CLIP)

HILLARY CLINTON, SECRETARY OF STATE: I wish to express my personal regret and certainly the sympathy of our administration on the loss of civilian life in Afghanistan. We deeply regret it. We don't know all of the circumstances or causes and there will be a joint investigation by your government and ours but any loss of life, any loss of innocent life is particularly painful.

(END OF VIDEO CLIP)

PHILLIPS: All eyes now are on the White House and CNN's Suzanne Malveaux joins me with a preview. Suzanne, what did the administration hope to accomplish here?

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Kyra, they certainly hope to accomplish something. A different kind of picture than we saw under President Bush. It was September 2006 you may recall I was covering it when you had the Afghan president Hamid Karzai with at the time Pakistan's leader Pervez Musharraf. These two guys, they had an elaborate dinner here at the White House, they both blamed each other for the terrorism problem. They wouldn't even shake hands. It was something that really grabbed the attention of a lot of us. So far we have not seen that kind of tension between these leaders, Karzai as well as Zardari who actually is on the Pakistan -- newly elected Pakistani leader. These two essentially vowing to work together but there is some blame that we've heard from the two of them saying, look, there's a sanctuary for the Taliban that's now in Pakistan. President Obama also acknowledging that that is a very big problem.

The Pakistani government not able to provide for its own people at this time while the Taliban is increasing in strength. So President Obama is going to get these two guys together to sit down individually and collectively and deal with this issue. And Kyra it's not just about security. It's also about in the days ahead dealing with agriculture, dealing with the justice department, trying to find ways of actually removing the Taliban sanctuary, the power that they have inside of Pakistan and replacing it with some real support here, whether it's military, whether it's economic, some real teeth behind this. Kyra?

PHILLIPS: All right. Suzanne Malveaux thank you so much. We are expecting a White House briefing at the bottom of the hour. We'll let you know what Robert Gibbs says about the meeting with those leaders and the civilian casualties.

Now to get a firm handle on the Obama administration's deep concerns over Pakistan, just take a look at this map of the swat valley. It's Taliban turf and only about 100 miles from the capital Islamabad. The Pakistani military says it's poised to launch a new campaign against these heavily armed militants. Ivan Watson is in the Swat Valley, joins us live. Ivan, what are you hearing about the new offensive?

IVAN WATSON, CNN CORRESPONDENT: I'm actually in Islamabad right now. The offensive hasn't really begun in the Swat Valley. It's in neighboring districts of Bunar and (INAUDIBLE) where the Pakistani military has been pushing forward. In the Swat Valley the town of Mongora(ph), the Taliban has actually been attacking Pakistani security forces, attacking an army headquarters there Kyra, attacking a police station and they've been in control of some of the streets there. It's really put some civilians in the cross fire there. We're hearing about 80 children, 80 boys between the age of 5 and 17 caught in the basement of an orphanage not too far from that army headquarters. Kyra?

PHILLIPS: All right, well we're also hearing reports of thousands of people fleeing from the valley, right? What can you tell us about that?

WATSON: That's absolutely a big problem. 40,000 people estimated to have fled the Swat Valley in just the last 24 hours. And that's on top of more than 50,000 people who were estimated to have left other neighboring regions where the Pakistani military has tried to crush the Taliban over the course of the last week and a half. We're getting some pretty scary estimates here, Kyra. Pakistani officials predicting up to a half million Pakistanis will be uprooted as this conflict continues to escalate in the region. We just came back from some refugee camps today where five days ago you had an empty field Kyra, now you have some 1,500 people setting up in tents and more tents going up every minute as new refugees were arriving even during the hour that we were there. Kyra?

PHILLIPS: Ivan Watson, appreciate it. Vowing a fight to the finish, the chilling threat from the Afghan Taliban to the Obama administration. You have to see our Nic Robertson's exclusive interview with a spokesman of the Afghan Taliban supreme leader, that's coming up later this hour.

Investigators are at the scene of a plane crash right now in South Florida that killed two people. Reports say that a single engine plane crashed into an empty plane on the ground at Palm Beach County Airport there in Lantana. A spokesperson for the fire and rescue crew says that the plane likely lost power and made an emergency landing when it struck the parked aircraft.

Defense department investigators are trying to figure out what brought down a Marine Corps helicopter near San Diego. The two pilots were killed. The super cobra attack helicopter went down late last night in the Cleveland National Forest. That aircraft was based at the Marine Corps air station on Miramar.

Taking a look at the big board now on Wall Street. Dow Industrials up 39 points. We'll continue to monitor obviously the numbers throughout the afternoon. Now talk about stress. Bank of America reportedly didn't fare so well on those stress tests that were ordered by the government. We won't get official word until tomorrow but sources do say that B of A is tens of billions of dollars short of the cushion that it would need if the recession got any worse. Now investors don't seem concerned right now. B of A stock is up more than two bucks a share just this week. Over the past month it's up actually by almost half. CNN's Stephanie Elam joins me now from the New York Stock Exchange with more on that. Stephanie, are investors right to shrug this off?

STEPHANIE ELAM, CNN CORRESPONDENT: Kyra, you know you do have a lot of things that many believe are already factored into the stock price of these big banks like Bank of America and Bank of America also has options. The other thing about this we have to keep in mind, we know Bank of America is not going to go away. The stress tests were designed to see how the banks will perform if the recession got worse. Keep in mind, no one expects that to happen. The reports that B of A needs to raise an extra $34 billion have been leaked out there. This was determined by early stress test results. Bank of America will have six months, however, to come up with a plan of how to raise this extra capital.

Now there are a few possibilities here. They could sell assets. Private investors could get involved. They could get it from the government. However, pretty much right now the government saying that they don't think that that's going to be likely. B of A already has $45 billion from the government and there are reports that between 10 and 14 banks will need to raise extra capital and the full results of these stress tests Kyra, they will be made public after the closing bell tomorrow. We'll be able to see what is going on there rather than just looking at the speculation hitting out on the street early.

PHILLIPS: Stephanie, real quickly, do you think Bank of America realistically can raise that much cash?

ELAM: It has a few options that it can do it, it's trying to sell its assets, assets like First Republic, which is the banking unit that it got when it bought Merrill Lynch. Also there's Columbia Management, it's asset management unit that they could go ahead and sell. That could bring in about $4 billion for those two. Then it could also sell shares that it owns in China Construction Bank that could bring in $8 billion. It may not get quite the $34 billion. If it doesn't it would have to convert the government's preferred stock to common stock and that would make the government the biggest shareholder in Bank of America as it would dilute the shares of shareholders.

I know that confuses people a lot, but it would just change things around a bit. It would also possibly put pressure on CEO Ken Lewis who last week was ousted as chairman of Bank of America. Right now Lewis doesn't have the best relationship with the government after he said that the government forced Bank of America to buy Merrill Lynch and then there was a whole issue about bonuses there. At this point we have to wait and see. But at the same time, they may not need the whole $34 billion if it turns out that no one thinks that the economy is going to get worse. Take a look at that jobs report, it's looking better than we thought.

PHILLIPS: All right, Stephanie, thanks so much. Now a little fine print from the bankruptcy filing by Chrysler. More than $7 billion in government loans won't be paid back. Although taxpayers will pick up an 8 percent stake in the restructured company largely owned by Fiat. Ford may be a long way from easy street but it's a lot better off than the rest of the big three. Now it's changing focus. I'm going to get the details straight from the CEO.

(COMMERCIAL BREAK)

PHILLIPS: One of the top stories that we've been talking about this morning has been -- the conversations taking place with President Barack Obama also the head of Afghanistan and Pakistan worried about that growth of the Taliban moving closer to Pakistan. What that means for the U.S.? What that means to preventing another 9/11? Our Chris Lawrence actually has been able to make his way over to Kabul, Afghanistan, with Defense Secretary Robert Gates. Chris, is the U.S. military there saying anything about the story that we have just reported on those civilian casualties in Afghanistan?

CHRIS LAWRENCE, CNN PENTAGON CORRESPONDENT (via telephone): They are Kyra, I just spoke with the top commander, the top U.S. commander here in Afghanistan. General David McKiernan says that he has information that leads him to believe a very distinct difference in what some of the civilians there are reporting. Some of the civilians there, the Red Cross even saying that as many as 100 civilians may have been killed by U.S. air strikes. General McKiernan says the way this started was that the Taliban came as a large group into this area. They executed by beheading three civilians there. The police then engaged them. The fight escalated. Then the local governor there called in U.S. help. General McKiernan says an investigation is ongoing but he expects that what he called an initial truth will come out in the next couple days.

PHILLIPS: Meanwhile, Chris you know what's happening with the U.S. meeting with Afghan and Pakistani leaders. Did the general say anything about what is happening there on a political sense and how it's affecting or inciting the violence that we're seeing?

LAWRENCE: We know that Pakistani officials have privately expressed to the U.S. that they are concerned that increased fighting in southern Afghanistan could push some of the militants back over the border. But what I spoke to General McKiernan, he seems to think that what he sees is that most of the militants crossing the border are foreign fighters. By that he means if elements of the Taliban were to run away or to run back to Pakistan, they would be people who had come from that area in the first place.

LAWRENCE: Got it. Chris Lawrence there in country with Secretary Gates. We'll be talking to you more obviously throughout the day. We're going to take a quick break. More from the CNN NEWSROOM straight ahead.

(COMMERCIAL BREAK)

(WEATHER REPORT)

PHILLIPS: To say that U.S. automakers are changing may be the understatement of the century. Here's one telling example. The big three CEOs arriving on Capitol Hill back in December in hybrids from their respective companies. That was after the bosses got blistered for their corporate jets.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Are you planning to drive back? All of the press releases you rove up here.

BOB NARDELLI, CHRYSLER CEO: Yes, sir. I did have a colleague ride and we rotated. We drove, left Tuesday night and drove until midnight. And then got up at 5:30 the next morning and drove the rest of the way in. We did rotate. I do plan to drive back.

UNIDENTIFIED MALE: What about you?

UNIDENTIFIED MALE: We carpooled. I drove and I'm driving back.

UNIDENTIFIED MALE: You didn't carpool with him, did you?

UNIDENTIFIED MALE: No, carpooled with our Ford team.

UNIDENTIFIED MALE: Ok, what about you?

UNIDENTIFIED MALE: Drove with a colleague. We split it up about 50-50. We drove down yesterday and I'm going to drive back myself Friday or Saturday.

(END OF VIDEO CLIP)

PHILLIPS: All right. Fast forward five months. Ford plans to spend more than half a billion dollars retooling an SUV plant to build the next generation Ford Focus. Ford CEO Alan Mulally joins me now from Wayne, Michigan to talk about that. But Allan, I have to ask you now though, what are you driving?

ALAN MULALLY, FORD CEO: Right now I'm driving a Fusion. 41 miles to the gallon. 8 miles to the gallon better than a Toyota Camry.

PHILLIPS: After we saw the grilling there on the hill, you mentioned you were going to sell five of the six corporate jets. Did you do that?

MULALLY: Yes, we're in that process now. It's a pretty tough market for business jets but that's our plan.

PHILLIPS: When was the last time you took the corporate jet, I'm curious?

MULALLY: I would have to look at my diary.

PHILLIPS: Ok. Moving right along, we'll talk about the fact that you didn't take bailout money in just a second. Let's get in to one more time because I think a lot of taxpayers, a lot of people in this economy want to know those hearings did draw a lot of attention. The three of you took a lot of heat for bonuses, personal spending, what have you done personally to change the way you've been operating from that type of financial perspective since you were on the hill testifying?

MULALLY: Well, it's very interesting because probably the biggest thing that came out of the hearing was the fact that everybody really appreciated that Ford was in a different place. We were there clearly to support the automobile industry and the recovery of the United States economy. Clearly Ford had the financing in place. We were not asking for taxpayer money. We had a very good plan to transform the product line and our production system. As hard as that was, I think we did the right thing to support the industry. I think everyone had a chance to see that Ford was in a different place with their business.

PHILLIPS: Let me ask you why you're in a different place because you didn't take the bailout money Alan and you're surviving. What are you doing differently?

MULALLY: Well, we clearly Kyra decided we really needed a different business model in the automobile industry when I arrived 2 1/2 years ago. We pulled together around a very straightforward plan. One was that we were going to focus on the Ford brand so we divested Jaguar and Land Rover, Aston Martin and we really are now focused on the Ford brand around the world. The second part of the plan is we made a commitment that we were going to structure ourselves to operate profitably at the lower current demand. We're doing very well on that.

The next point was we made a commitment that we'll there for the customers with a full product line, small, medium and large cars, utilities and trucks. And every one of them would be best in class in fuel efficiency, quality and safety in which we're delivering on today. Probably one of the most important things is we're going to use our leverage and our global assets of Ford around the world because we make fabulous vehicles all around the world. So we're bringing that to bear especially in the United States. The last part of the plan was that we went to the banks with this business plan, we borrowed this sufficient money to finance the plan so now we have the appropriate liquidity to be able to continue this transformation through this recession.

PHILLIPS: Alan, correct me if I'm wrong but I think the first time around when you were making the Ford Focus, you lost about a billion bucks a year. What are you doing differently this time around to make sure that doesn't happen?

MULALLY: Oh you bet. I think that's a very important part of our plan. Today we announced here in Wayne that we are going to convert from a SUV production over to the new Ford Focus. And the new Ford Focus will be available for everybody at the end of 2010 and it's one of our global platforms which means that we have the scale of selling that vehicle -- design it and fabricate it and selling it around the world. We'll have nearly 2 million vehicles off this new Focus platform. With our suppliers lined up and that kind of volume and the similarity of the parts around the world we can make a tremendous reduction in the cost and improvement in the quality and productivity which we then can then offer the customer a great value and make money on small cars in the United States.

PHILLIPS: Let me ask you that Alan because you're taking this Michigan truck plant and you're turning it into a small car plant. But the F-150 that's been your big seller even when gas prices dropped you kicked in and made a bunch more to get them out there. How are you going to convince the folks that want their F-150 that this is the better way to go?

MULALLY: Well, we're clearly going to continue with our F-150 because the commitment you have from Ford is that we're going to be in every market segment. Small vehicles, medium sized, large cars, utilities and trucks from Ford. You can count on a full complete family of vehicles, all of which are best in class on quality, fuel efficiency and safety. So we are going to not ever let our truck customers down. 34 years of industry leadership in the United States. A phenomenal vehicle with best in class fuel efficiency and capability to do everything that everybody wants with their trucks. Again, our plan is to have a balanced portfolio and be there for the customers with the vehicles they really do want.

PHILLIPS: Well Chrysler and GM could probably use a little bit of your business advice. Alan Mulally Ford CEO appreciate your time today.

MULALLY: Thank you.

PHILLIPS: Terrifying memories of 9/11 sent many New Yorkers into a panic. It makes you wonder what on earth the people in charge were thinking. Now more questions about last week's bungled photo-op over Manhattan.

We think you'll have something to say about this. Radio host Michael Savage banned from Britain along with controversial preacher/protester Fred Phelps and others. We'll explain what the bans about, read some of your emails. Do you agree with it? E-mail me, cnnnewsroom@cnn.com or you can find me on twitter, the name is KyraCNN. Checking your reaction to this one.

(COMMERCIAL BREAK)

PHILLIPS: That flyover fiasco over Manhattan last week seems like the bungle that keeps on bungling. The low flying presidential aircraft panicked New Yorkers because the government didn't get the word out that it was just a photo shoot and now it looks like we'll never even see the pictures. CNN's Jeanne Meserve explains.

(BEGIN VIDEOTAPE)

JEANNE MESERVE, CNN HOMELAND SECURITY CORRESPONDENT (voice- over): It looked like air force one flying low over Manhattan with F- 16s in pursuit and it sent some New Yorkers into the streets and into a panic. CALLER: Oh, my God.

DISPATCHER: What is the problem, sir? You've got to tell me. What is going on, sir?

CALLER: There's a (unintelligible) falling, an aircraft, a big aircraft, kind of like the 9/11.

MESERVE: It turned out to be a photo-op. But where are the photos, the White House press secretary was asked?

ROBERT GIBBS, WHITE HOUSE PRESS SECRETARY: I don't know where those are.

MESERVE: The White House press office says there are no plans to make the photographs public. There is nothing wrong with the previous photos so we're going to use them. Remember that declaration of a new era of openness --

OBAMA: The old rules said that if there was a defensible argument for not disclosing something to the American people, then it should not be disclosed. That era is now over.

MESERVE: So why exactly doesn't that apply to the photos? An advocate for government disclosure says it should saying it is silly and absurd to withhold them.

PATRICE MCDERMOTT, OPENTHEGOVERNMENT.ORG: These are public records. These photographs, videos, or whatever they have are public records because they were done on government time using government resources and government personnel.

MESERVE: And back in New York the news reignited public outrage over the incident.

UNIDENTIFIED MALE: Doesn't seem right if we spent the money to have these photos taken that it should be available for the public to see.

UNIDENTIFIED FEMALE: They're so worried about their image they don't want to be seen in a bad light.

MESERVE (on camera): White House spokesperson Robert Gibbs says he will take another look at releasing the photos but it hasn't happened yet. Meanwhile, a White House inquiry into the flyover should be done within a few days but there's no word on the report, unlike the photos, will be made public. Jeanne Meserve, CNN, Washington.

(END OF VIDEOTAPE)

PHILLIPS: Definitely not a list Michael Savage was dying to make. But his name's on it, the ban from Britain list. His opinions a little too hot for the home secretary there. The king of the Savage nation is now no shrinking flower. He's ticked.

(COMMERCIAL BREAK)

PHILLIPS: Michael Savage banned and outraged. The outspoken radio talk-show host is just one of several Americans banned from Britain. The home secretary there says that people who, in her words, "stir up hatred" are not welcome. CNN's Paula Newton reports from London.

(BEGIN VIDEOTAPE)

PAULA NEWTON, CNN INTERNATIONAL SECURITY CORRESPONDENT (voice- over): When Britain decided to formally name and shame those it believes stir up hate, Americans Fred Phelps and daughter Shirley could have fallen under the category of the usual suspects. They had already been banned from Britain a few months ago after picketing the funerals of U.S. soldiers, claiming their deaths are punishment from God because the U.S. tolerates homosexuality.

But Michael Savage, one of the country's top-rated radio personalities, just didn't see it coming. He, too, has been banned from Britain by the country's home secretary, Jacqui Smith, for, in her words, "seeking to provoke others to serious criminal acts and fostering hatred which might lead to intercommunity violence." She adds, "To individuals who abuse our standards and values to undermine our way of life, they are not welcome here."

Michael Savage made it known on his radio show he's just not going to take it.

MICHAEL SAVAGE, CONSERVATIVE RADIO TALK-SHOW HOST: I will sue her until the last day on Earth to prove that she, in fact, is the individual who the English should be afraid of, not me.

NEWTON: Savage says he will sue for defamation and accuses the British government of gagging free speech. He has stirred up controversy, even recently suggesting illegal Mexican immigrants were engaged in germ warfare by spreading swine flu. He has been criticized for his conservative views on everything from homosexuality to autism, but he says he is no hatemonger and does not promote violence.

But in Britain, this is not a First Amendment issue. It is what they call a hate issue. And along with 21 others, including anti-gay preachers, radical Muslim clerics and the Ku Klux Klan, Michael Savage says the British government is not free to speak on the queen's soil.

Paula Newton, CNN, London.

(END VIDEOTAPE)

PHILLIPS: Well, we want to hear from you. Do you agree with Britain's decision to ban controversial visitors? E-mail us, CNNnewsroom@cnn.com. We'll try and read some of your responses in the next hour of the program.

Health officials say that the worst of the swine flu may have passed even as they investigate the first death of a U.S. resident. Judy Trunnell was a Texas schoolteacher who lived near the Mexico border, but health officials say the 33-year-old woman had other health problems. They have not confirmed that the virus killed her.

Trunnell was eight months' pregnant when she got sick. She died after being in the hospital for two weeks. After she slipped into a coma, doctors performed an emergency Caesarean. She gave birth to a healthy baby girl. According to the World Health Organization, there are now more than 1,600 cases of swine flu across 26 countries, 642 in the U.S..

In other news in medicine, Connie Culp is a survivor. She says that she's not a monster, something that a child called her after a horrific gunshot blast took away most of her fast. Well, last December, she had an unprecedented face transplant. CNN chief medical correspondent Dr. Sanjay Gupta reports on how she looks today.

(BEGIN VIDEOTAPE)

DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT: I can tell you, Kyra, even as a doctor, I have never seen anything quite like this.

What we're about to show you is the first face transplant performed in the United States and one of the most extensive face transplants ever performed. Let's start at the beginning, the beginning of the story.

GUPTA (voice-over): A shotgun blast five years ago blew this woman's face to pieces. A 46-year-old mother of two. In a moment, her identity gone.

This was the end result. Connie Culp no longer had a nose. Could not eat solids or drink from a cup. She had a hard time breathing. She lived in virtual seclusion.

DR. FRANK PAPAY, CLEVELAND CLINIC: Little children would shy away from her and actually be scared of her.

GUPTA: Then, after years of waiting, Culp was matched with a donor, a face donor. Even as a doctor, I had never seen anything quite like it. The most extensive facial transplant ever.

Before, after.

It took 22 hours, eight surgeons. Eighty percent of Culp's face, her palate, upper lip, nose, eyelids replaced with that of a donor.

CONNIE CULP, FACE TRANSPLANT RECIPIENT: I got me my nose.

GUPTA: And here's how she got it. First, graft skin from the face of a donor who had just died. Doctors careful to preserve arteries, veins, nerves. The next hours are critical.

Using powerful microscope, doctors married the veins and arteries from donor to recipient and then grafted the donor's skin onto Culp's face. The only indication it worked: The veins and arteries began to course with blood.

PAPAY: You have to wait and see if it clots or make sure that it continues to flush for that initial five minutes is you know you've done your job.

GUPTA: Face transplantation is new territory, conferring tremendous risk, especially for a procedure that, unlike liver or heart transplantation, is not life-saving. Add to that, face transplantations require high doses of immune-system suppressing drugs for life so that the body does not reject the new face.

I interviewed Dr. Maria Siemionow, who led Culp's operation before the transplant.

(on camera): You're talking about a long operation with a foreign tissue that's going to require a lifetime of anti-rejection medications and may not take. And the person could actually -- their life could be threatened. How do you reconcile those two things?

DR. MARIA SIEMIONOW, CLEVELAND CLINIC: These people are not just coming with such a commitment because they want to be beautiful. They want to be normal. And they want to be just -- come back to the society as anybody else. And I think they have rights to decide about that.

CULP: You never know what might happen to you. You might get in a car wreck and think you're beautiful one day, so don't judge people that don't look the same as you do, because you never know. One day it might be all taken away.

GUPTA: And as you watch her, Kyra, one of the things that really struck me was how there's hardly any scarring around her face, despite the number of operations that she had, the amount of scarring she originally had from her previous operations. She really has no scarring.

And I think it's worth showing you this image again, Kyra, in case you didn't catch it the first time. This is what doctors think -- project, if you will, she might look like a couple years from now when all of the swelling is gone, when the muscles really start to work again. They think that she's going develop a much more normal contour to her face.

It is not -- she will not look like the donor, nor will she look like she looked before all this happened, but someone entirely different. Remarkable stuff, and something I think is here to say. Kyra, back to you.

(END VIDEOTAPE)

PHILLIPS: All right. Sanjay Gupta, thank you so much.

Well, talk about overcompensating for bad luck. You won't believe the Midas touch one woman has when it comes to lottery tickets.

(COMMERCIAL BREAK)

PHILLIPS: Robert Gibbs at the White House with a surprise guest, Hillary Clinton.

(JOINED IN PROGRESS)

HILLARY CLINTON, U.S. SECRETARY OF STATE: ... is producing some very promising early signs. The level of cooperation between the governments of the two countries is increasing. The confidence- building that is necessary for this relationship to turn into tangible cooperation is moving forward. And I think today's series of meetings is another step along that road.

As you know, earlier, we met in a bilateral with both President Zardari and President Karzai, and then we had the large delegations meeting.

So, let me just quickly run through what have what occurred, and then I'd be glad to take your questions.

I met early this morning at the Willard Hotel with President Zardari and had a chance to see, for the first time in ten years, his son, Bilawal Zardari. Actually, Bilawal Bhutto Zardari. I had not seen him since he was a young boy. And so it was really a personal call that I wanted to make on both of them.

At the formal bilateral that I held with President Zardari at the State Department, I reaffirmed our government's strong support for him as democratically elected president. Being able to say democratically elected president of Pakistan is not a common phrase, and I think it's imperative that we support President Zardari and work with him as he extends the reach of the government, not only on security, as essential as that is, but also on the range of needs of the Pakistani people.

With President Karzai, it was a future-oriented conversation. We talked about the necessity to take real, concrete actions to make the kind of progress that Afghanistan desperately needs to see to really deliver for the people of the country. In both meetings, I thought each president was very forthcoming. We discussed a range of issues that are important going forward, but we kept the focus on what we're actually going to do.

I told each that, coming out of this trilateral meeting, we would basically have work plans. We're going to be very specific. We don't want any misunderstanding. We don't want any mixed signals. We want to know what we have agreed to, what they have agreed to, how we're going to proceed toward meeting those goals and objectives, and timetables that will be utilized to keep all of us focused on the job ahead.

At the trilateral meeting, we had very distinguished delegations from both countries. In addition, Secretary Vilsack, Director Panetta, Director Muller, Deputy Secretary Jack Lew, Ambassador Holbrooke, Ambassador Ann Patterson, Undersecretary Flournoy, Acting Administrator of USAID Fulgham, and General Petraeus.

The format of the meetings were to hear from our Obama administration officials with the specifics of what the next day's meetings, tomorrow, will focus on in each instance. So, for example, Secretary Vilsack kicked it off because, as you know, from our strategic review, we think it's imperative to focus on the agriculture sector.

We certainly intend to provide assistance with issues ranging from water rights to anti-erosion measures to specific feeds that can grow alternative crops in Afghanistan to continue to help the agricultural sector in Pakistan as well.

I thought it was a very significant meeting, in some ways a breakthrough meeting. The high-level participation from our government was very important, and the high-level participation from each of the delegations. A number of the comparable ministers had never met each other. They may have talked on the phone about border security or police training or intelligence sharing, but they hadn't actually met in several instances.

I was extremely impressed by the candor that was really evidenced throughout the meeting. And it was a physical manifestation of our strategy of viewing Afghanistan and Pakistan as a regional challenge but also a regional opportunity. The trade transit agreement memorandum of understanding that was signed today commits both countries to finalizing a trade transit agreement that deals with all of the obstacles and problems of goods and people crossing borders.

It was start 43 years ago, and we're determined to bring it to a resolution. The kind of economic development that will spring up if we see increased trade and commerce between the two countries is one of the best ways that we can provide alternatives for those who might otherwise be dragged into this conflict.

We will continue these meetings at the ministerial level. When tomorrow the people of both delegations meet with their counterparts and our government, they will be setting up very specific follow-on planning.

I'm very -- I'm very optimistic that this process is making a difference. I'm realistic enough to know that, you know, two meetings does not necessarily turn around the, you know, many difficult and complex challenges that confront these two countries and us and our relationship to them.

One of the comments that was made struck me, that geography binds us, but we were not connected before. They basically stood on both sides of a border that neither agrees to because it was imposed on them. It was not ever reached by the governments of either country. And yet they have so much both in common and they face this common threat, and they have to make common cause to reach a common objective.

Both presidents spoke very movingly about the threat and dangers of terrorism. I think that they are committed to this conflict being resolved and their being able to produce more peace and security.

You know, an ancient Afghan proverb says patience is bitter, but its fruit is sweet. I think that patience is not always in great supply inside our own government or even inside or own country, but I think in this instance, the kind of patient strategy that the president has adopted and the steps that we are all taking to implement this strategy is the only way forward.

It may not give you a story every day, but hopefully it will give us all a better story next year and the years to come. So, I'm very pleased to have this opportunity to make these short comments, and I'd be glad to answer your questions.

ROBERT GIBBS, WHITE HOUSE PRESS SECRETARY: Jennifer?

QUESTION: Thank you, Madam Secretary. You talked about this being a breakthrough and about the focus being on what you can do, what you will do, specific things. But can you list any specific things that either leader agreed to go back to their country and do to make the kinds of changes that are so desperately needed?

CLINTON: There were such commitments, but I think we would rather talk about those after conferring with each of the presidents and probably at the end of this two-day process. Because there, you know, there have been commitments made. There will be much more in- depth work done tomorrow to see how we're going to realize the way forward on those commitments. And I think it would be more appropriate to wait to talk specifically.

QUESTION: Can you speak, then, on behalf of this country and perhaps what...

CLINTON: Yes.

QUESTION: ... what the administration is committing to that we haven't already seen in these plans...

CLINTON: Right.

QUESTION: ... or (INAUDIBLE).

CLINTON: Well, some of it is very specific. You know, if you look at agriculture, you know, we're going to establish a training program, the Borlaug Fellows training program. You remember Norm Borlaug was one of the architects of the green revolution, which transformed life in India and in other places.

And we're going to do intensive training with Pakistani and Afghani agricultural experts and researchers and policymakers. We're going to establish a trilateral body to identify the cross-border water issues, one of the critical issues as to whether agriculture can be revitalized, particularly in Afghanistan.

With respect to economic commitment, both Afghanistan and Pakistan confirmed their commitment to the Central Asia-South Asia energy agreement. We're going to press ahead to try to help alleviate some of the blockades that exist for both countries getting reliable sources of energy, particularly electricity.

The trade transit agreement is a commitment to a timeline to adopt customs harmonization strategy, pass legislation, and create the institutions necessary to prevent illegal transshipments, finalize the reconstruction opportunity zones that are part of the Kerry-Lugar legislation.

We are also looking to deepen our work on the cross-border issues, joint parliamentary exchanges and military training, border coordination centers.

We want broader-based law enforcement reform, a vigorous anti- corruption agenda that removes the impunity that too often has existed in the past. And they committed to vigorous judicial reform and counterterrorism legislation and improving prison conditions. You know, those are just some of the things that are part of our dialogue going forward that they've already committed to working with us on.

QUESTION: Madam Secretary, senior administration officials in recent weeks have swung between really sharp criticism and praise of the Afghan and Pakistani governments. You, yourself, said that the Pakistani government was at risk of abdicating to the Taliban.

First, do you believe -- still believe that is the case? And do you see a risk of sending a mixed message to these partners at a time when both their cooperation are needed in combating the resurgent Taliban?

CLINTON: Well, I'm actually quite impressed by the actions that the Pakistani government is now taking. I think that action was called for, and action has been forthcoming.

This is a long, difficult struggle. And the leadership of Pakistan, both civilian and military, you know, really had to work on significant paradigm shifts in order to be able to see this threat as those of us on the outside perceived it.

And I think that has occurred. And I think that there is a resolve going forward. There are still some challenges in terms of assets and resources and approach toward dealing with not a standing army across a border, but the kind of insurgency and guerrilla warfare that is being waged against the legitimate authority of the Pakistani state.

I think that our resolve and our commitment to the democratically elected government is very, very firm. But we are also working to create an atmosphere and a reality of candor and openness between us. I think that is way overdue.

A lot of lip service was paid in the past that did not translate into better lives, more safety, more security, economic development for the people of Pakistan.

So, I think that, you know, we are very supportive. We are engaged in this process. We are committed to the strategy the president outlined, but we're also going to have a very open and honest relationship.

PHILLIPS: Secretary of State Hillary Clinton, along, of course, with the Obama administration, the president himself immersed in pretty much high-stake diplomacy with the leaders of Afghanistan and Pakistan, hoping to come together, figure out a strategy to fight Taliban militants that have been creating tremendous problems for all countries involved.

We're going to follow those meetings, of course. If you want to continue to watch the secretary of state, you can go to CNN.com/live. We're following it, too.

Meanwhile, in the Southeast, a day of violent storms with tornado watches in several states now. Chad Myers, we've been tracking all the -- that dangerous storm system out of the CNN weather center. Also on the corner of your screen we'll be updating it, and you'll be seeing the weather patterns, but Chad's going to join us right after the break.

(COMMERCIAL BREAK)

PHILLIPS: All right, Chad Myers, how's it looking right now?

(WEATHER REPORT)

PHILLIPS: Well, the U.S. invasion in late 2001 broke the Taliban's ruthless control over Afghanistan, but the militants began their comeback almost immediately, and now they're vowing to make Afghanistan President Obama's Vietnam.

CNN's Nic Robertson sat down with the spokesman for the Afghan/Taliban supreme leader, Mullah Omar. Here's part one of his exclusive interview.

(BEGIN VIDEOTAPE)

NIC ROBERTSON, CNN SENIOR INTERNATIONAL CORRESPONDENT (voice- over): I'm waiting for an exclusive interview with a top member of the Afghan Taliban. The room is small, few possessions, a gun by the computer. There is only one way in and only one way out of this safe house.

We agreed not to reveal the location, but on the way, we were watched. Could this be a setup? These days the Taliban are kidnapping reporters.

As he arrives, Zabiullah Mujahid has phones in both hands. He is nervous. And although I only notice it later, he has pistol holsters under his jacket. He is spokesman for Taliban's top leader, Mullah Omar.

Before the interview begins, he covers his head, refuses to show his face to the camera. But there is nothing hidden about his message: A new Taliban offensive is imminent.

ZABIULLAH MUJAHID, SPOKESMAN FOR AFGHAN TALIBAN LEADER MULLAH OMAR (through translator): This month there will be more attacks, more suicide attacks because the war policy has changed. And there are new U.S. troops coming.

ROBERTSON: Twenty thousand more U.S. troops are on their way to Afghanistan in the next few months. Mujahid has a warning for President Obama: However many come, it won't be enough.

MUJAHID (through translator): Afghanistan will be the Vietnam for them. I want to tell you clearly, we will win, and they will die.

ROBERTSON (on camera): You're laughing. I don't understand how you can laugh when you're up against the strongest army in the world with drones and missiles.

MUJAHID (through translator): This is the war of martyrdom. Don't worry about this. We want to fight. We want to fight for martyrdom.

ROBERTSON (voice-over): He tells me to watch this Taliban propaganda video to see how they are targeting U.S. helicopters.

You can see the trace of fire from the left and what seems to be an explosion underneath the helicopter. Incredibly, the same attack appears to be filmed from several angles. The helicopter appears to survive the attack, but the cargo beneath falls off, burning.

The U.S. military is one target, but Mujahid is drawing the battle lines for a broader war. Key for U.S. success in Afghanistan are presidential elections expected in fall.

MUJAHID (through translator): We ask from our Muslim brothers and our population not to take part in this election.

ROBERTSON: Will you stop -- will you try to stop the elections?

MUJAHID (through translator): We'll target the Afghan parliamentary members and government officials, so if there is elections, yes, it's clear, we will target them.

ROBERTSON: He claims the Taliban and Afghanistan are getting support from across the border, from Pakistani Taliban, but says they are not involved in the bloody conflict that threatens the stability of nuclear-armed Pakistan. But are they closely involved with al Qaeda and terror networks that target the West?

After the break, Mujahid talks about what binds the Taliban and al Qaeda.

(END VIDEOTAPE)