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Bush Travels to Eastern Europe; Iraqi Suicide Bombers Strike Marketplace, Police; Shareholders Mad Over CEO Perks

Aired May 06, 2005 - 13:00   ET

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

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


KYRA PHILLIPS, CO-HOST: President Bush walking a diplomatic tight rope as he heads to Europe for a celebration. We're live from Riga, Latvia.
MILES O'BRIEN, CO-HOST: Pulpit politics. A pastor ex- communicates some church members. The reason? They voted for Democrats.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: And I told Arnie, I said, "Arnie, I've been hit." And Arnie helped grabbed the control, stabilized the aircraft while I tried to tend to myself.

(END VIDEO CLIP)

PHILLIPS: A pilot shot in the head. The passenger has to help out. We've got the rest of the story.

O'BRIEN: And the run for the roses. Who's going to be the lead horse in the final turn? We'll check out the favorites for the Kentucky Derby.

From the CNN Center in Atlanta, I'm Miles O'Brien.

PHILLIPS: And I'm Kyra Phillips. CNN's LIVE FROM starts right now.

Where were you on May 8, 1945? Most Americans alive today, George W. Bush included, weren't around then. But Mr. Bush is marking V.E. Day with a five-trip overseas, almost all of it behind what we used to call the Iron Curtain.

First stop, Latvia, one of many countries where victory in Europe, the end of World War II on the continent, was not a victory for freedom and democracy.

CNN's John King flew ahead of Air Force One to the Latvian capital of Riga. He joins us live.

Hi, John.

JOHN KING, CNN CORRESPONDENT: Hello to you, Kyra.

You mentioned this is the president's first stop. His main event, of course, is in Moscow for a big parade marking the 60th anniversary of the end of World War II in Europe.

And let's make it crystal clear, the Russians are not happy that Mr. Bush has decided to come here to Latvia first and then after Moscow he will go on to Georgia. Both Latvia and Georgia, former Soviet republics. Both have had tense relations with Vladimir Putin's Russia from time to time.

But the White House saying Mr. Bush wanted to stop here in Latvia first, Georgia on the back end of this tour to promote his second term message of freedom and democracy, to salute these former Soviet republics that are now independent democracies.

The Russians, though, already complaining about the president's schedule. They are taking offense, saying he's somehow snubbing what was planned a big event in Moscow.

And Mr. Bush angered the Russians even more as he prepared to head here to Latvia by sending a letter to Latvia's president. In that letter, Mr. Bush said this: "In western Europe the end of World War II meant liberation. In Central and Eastern Europe, the war also marked the Soviet occupation and annexation of Estonia, Latvia and Lithuania and the imposition of communism."

Moscow taking offense with that. It is the Soviet line throughout history, and it is Mr. Putin's line today that the Baltic countries invited the Soviets in after World War II. These countries, of course, forcefully reject that notion. They say they were occupied by Josef Stalin's army -- armies after World War II.

So some tension, Kyra, at the beginning of this trip. Mr. Bush will come here. He will meet with Baltic leaders. He will salute the small republics and their democracies before moving on to Moscow. This is a trip that will very much test that friendship Mr. Bush has claimed to have had with Mr. Putin since the very beginning.

The United States, of course, already complaining about other steps in Moscow it doesn't appreciate, including what the White House would call anti-Democratic steps by Mr. Putin. So a key test of what the president says is a very important friendship in the days ahead -- Kyra.

PHILLIPS: John King, live from Latvia, thank you.

O'BRIEN: Another glimpse today of that Australian-born engineer taking hostage in Iraq, along with a follow-up threat on his life.

Al Jazeera Television quoting the kidnappers of Douglas Wood as vowing to kill him if Australian doesn't pull its forces from Iraq in 72 hours. Wood, last seen Sunday on video, at which time kidnappers demanded the pull-out of Australian, American and British troops.

And Australia's prime minister vowed not to give in to terrorists. Wood is 63, said to suffer from a heart condition.

Another day of spectacularly brutal violence in Iraq. But this time not all of it seems squarely aimed at men in uniform. At least 29 people are dead in two suicide attacks. Fourteen others turned up executed in a Baghdad garbage dump.

CNN's Ryan Chilcote has the latest.

(BEGIN VIDEOTAPE)

RYAN CHILCOTE, CNN CORRESPONDENT: No let-up on the violence in Iraq today. Two separate suicide bomber attacks. The first one, the most recent one in the southern city of Suwayra, a suicide bomber blowing himself up in the middle of a very busy marketplace, killing at least 22, wounding at least 43. No sign of any military target there.

And in the northern city of Tikrit, another suicide bomber attack. This time the suicide bomber drove his car into a bus carrying Iraq police to work, killing at least seven of them, wounding three more. That was the third attack on Iraq's security forces in the last three days.

And lastly, a gruesome discovery in the Iraqi capital. The bodies of 14 Iraqi men were found in a garbage dump. All of them appeared to have been shot in the head execution style.

Ryan Chilcote, CNN, Baghdad.

(END VIDEOTAPE)

O'BRIEN: The general in charge of Abu Ghraib prison during those infamous abuses, not a general anymore. Call her Colonel Karpinski now. Janice Karpinski demoted in light of an Army investigation that substantiated charges of dereliction of duty and shoplifting.

Karpinski was cleared of lying to investigators and failing to obey orders, however. She insists the M.P.'s under her command who mistreated inmates were ordered to do so by military intelligence.

PHILLIPS: In transit today, Mr. Bush telephoned his congratulations to newly-reelected British Prime Minister Tony Blair. Blair led his Labor Party to an unprecedented third consecutive win in yesterday's voting. But the majority he'll command in Parliament is less than half of what it was.

Blair admits that he was badly hurt by his commitment to the war in Iraq.

(BEGIN VIDEO CLIP)

TONY BLAIR, BRITISH PRIME MINISTER: I know that Iraq has been a deeply divisive issue in this country. That's been very, very clear. But I also know and believe that after this election people want to move on. They want to focus on the future in Iraq and here.

(END VIDEO CLIP)

PHILLIPS: While Blair was tending to formalities today with the queen, the leader of the opposition Conservative Party was bowing out. Michael Howard says he did not achieve what he set out to achieve, though he did help the Torries add 30-odd seats to their total. Some expect Blair may have to step down, too, before his third term is up.

O'BRIEN: Days after reeling in al Qaeda's purported third in command, Pakistanis announce another big catch. Officials there say 18 of al-Libbi's alleged accomplices or associates picked up now in the past 48 hours. Some allegedly planning another attempt on the life of Pakistan's president, which was a pet project of al-Libbi's, allegedly.

The man described as al Qaeda's top attack planner said to be cooperating, more or less, with interrogators, who are briefing U.S. Officials.

In North Korea, red flags, or perhaps, a red herring. U.S. spy satellites have picked up signs that Kim Jong-Il may be planning his first test of a nuclear bomb or he may just want the world to think he's about to test a nuclear bomb.

The images reportedly depict a recent excavation at a suspected nuclear test site. Frequent movement of trucks and cranes, even the erection of an elaborate viewing stand a ways away. The Bush administration reportedly has given South Korea and Japan a heads up.

We'll dig into this a little deeper in our next hour. Former U.N. weapons inspector David Albright will be our guest.

And as you know, CNN is committed to providing the most reliable coverage of news that affects your security. Stay tuned for us day and night.

PHILLIPS: Straight ahead, scary moments in the skies. A pilot has a heart attack. So the passenger had a crash course and a crash landing. That story ahead on LIVE FROM.

And just in time for Mother's Day, the daughter of famed spiritual author Deepak Chopra has some promises she wants to keep to her own children. It's an amazing new book that will touch any mom's heart. Mallika Chopra, ahead on LIVE FROM.

ANNOUNCER: You're watching LIVE FROM on CNN, the most trusted name in news.

(COMMERCIAL BREAK)

O'BRIEN: It's good to be king, isn't it? Or in big business it's good to be the CEO. Perks aplenty for corporate powerbrokers. That's no secret. But one perk that apparently has been around for awhile just now coming to light.

Straight to the Dolans we go for some unscripted lowdown on dollars and rents.

DARIA DOLAN, CO-HOST, "DOLANS UNSCRIPTED": This is really nice. This is very nice, Miles. You're offloading all of this on us.

O'BRIEN: I'm not saying anything about the fact that the CEO of our company has this fancy apartment in Los Angeles. Why don't you explain this deal, OK?

KEN DOLAN, CO-HOST, "DOLANS UNSCRIPTED": Oh, yes. Sure, Miles.

O'BRIEN: And then I'll just listen and pretend like I didn't know anything about it later, OK?

K. DOLAN: Obviously, Miles does not have his resume ready. All right, Miles. Mile, you're one of our dear friends, worked in Boston. We love you. We happen to know, Miles...

D. DOLAN: Loved.

K. DOLAN: Loved. You're making like some of the CEOs, about $5 million a year. Now, here's my point, Miles. You're making 100,000 bucks a week.

O'BRIEN: Yes.

K. DOLAN: Why should we -- shareholders, not we -- why should we as shareholders have to pay for your apartment because you choose -- in Los Angeles or Chicago or Boston?

O'BRIEN: All right. We're getting ahead of our viewers. Let's give them the basics on this. What is coming to light here? This is the story the "Journal" just made that some titans of industry, including -- including at the top of our company, have second...

D. DOLAN: Keep saying, it, Miles.

O'BRIEN: Have second -- second homes which they, in turn, rent -- you know, charge rent to the company...

K. DOLAN: Right.

O'BRIEN: ... for use of those places in L.A., New York, wherever the case may be. And some people are saying this might be excessive. What would you say? You're on the hot seat right now.

Daria, go.

D. DOLAN: Well, for example, if you look at the case of our very own CEO, he lives here in New York, and he spends some time on the west coast in Los Angeles. For the amount of time supposedly that he was in Los Angeles last year, I think it would have been cheaper to get him a hotel room than to give him $4,000 a month to maintain the apartment he already has there.

O'BRIEN: No, he could have a very nice suite for the amount of time he's there.

D. DOLAN: Exactly. Because they're saying that, well, you know, it costs so much with food and with the hotel costs, et cetera, et cetera. But you can't tell me that the heads of all of these multi- national companies are cooking their own dinner when they go to these subsidized places. O'BRIEN: No, Dick Parsons cooks a mean omelet, as I understand it, and needs a kitchen, I guess. I don't know. What do you think, Ken?

K. DOLAN: Miles, also, let's not take Dick Parsons just to task.

O'BRIEN: Yes.

K. DOLAN: In the article it was Les Moonves. It was Tom Freston (ph). It was also Michael Eisner. Here's the deal. Here's what I say. I'm a shareholder for the sake of example.

I say don't give a monthly stipend to a place that somebody owns as a second home. If you're going to go to New York, you're going to go to L.A. or Chicago, we as a shareholder, we as a company for every night you're there we'll get you either a very nice hotel room -- now hold on, Miles.

O'BRIEN: Yes.

K. DOLAN: Either a very nice hotel room or we will pay you the equivalent of a hotel room while you're in your second home in your city. I have no problem with that.

O'BRIEN: That -- that...

K. DOLAN: But to pay X numbers of thousands of dollars a month to stay there once in awhile, I don't think makes sense.

O'BRIEN: I think that's a reasonable thing.

K. DOLAN: That's why a lot of shareholders are so mad.

O'BRIEN: All right. What about the sedan share rental? Is that too much? I want to -- I have to read a statement, because if I don't read the statement, we really will be fired.

D. DOLAN: OK.

O'BRIEN: Time Warner's response to Mr. Parsons' L.A. apartment is this. "It is a valid business expense to pay rent for Mr. Parsons' Los Angeles apartment. There are benefits in terms of convenience, security, and keeping business transactions confidential." OK?

D. DOLAN: But you know, they could do that with the company owning it, then. And certainly, if you're paying...

O'BRIEN: And then we can all use it. We can stay in the apartment, then, right?

D. DOLAN: Well...

K. DOLAN: It was a company apartment, yes.

D. DOLAN: Ten thousand a month going for Michael Eisner to an apartment that was once his mother's that he now owns, I'm assuming, as an inheritance. Well, when Michael Eisner leaves the Disney companies, he's still going to own that apartment, and he will sell it at a profit. Why shouldn't the company have sold something at a profit?

K. DOLAN: Miles, do you know of any other cable networks looking for hosts?

O'BRIEN: Just as long as you throw that out for the heck of it, yes.

D. DOLAN: Let me just say this in fairness or maybe just to hang onto my job.

O'BRIEN: Yes.

D. DOLAN: I will say that at least our own CEO, Dick Parsons, is getting the least amount of all these guys.

K. DOLAN: And I think -- Miles, I think one of the problems -- and not to focus in on anybody or any company -- an awful lot of shareholders are saying if a CEO should get paid reasonable perks if he or she is running the company. Clearly, it's a pressure-filled thing.

All we're saying is let's keep the -- let's keep the compensation tied to the success of an individual company X, Y, Z.

O'BRIEN: Yes.

K. DOLAN: And if a person chooses and if a CEO chooses to travel, pay for them the hotel room, even if they own a place.

O'BRIEN: Get them out of the trough.

All right. You know what? These guys don't really rely on Social Security, nor will they ever need Social Security, right?

K. DOLAN: Yes, yes.

O'BRIEN: But then there are the rest of us that are concerned about Social Security. I know you're going to be talking about that a lot in the program this -- which airs tomorrow, of course, presuming not another runaway bride or something like that.

K. DOLAN: Or we don't get fired tonight or this afternoon.

O'BRIEN: Or perhaps this could be our last appearance. But tell us a little bit about Social Security. What are you hearing? When you ask people about these private accounts, what's the response?

K. DOLAN: I was in Columbus, Ohio. One of the things we're going to be doing, Miles, is Columbus, Ohio, is a demographic middle of America. All the surveys go out of there, a lot of the surveys. And we'll talk about the results tomorrow on the show.

But let it suffice to say a little inkling of what happened is private accounts, D-E-A-D. Forget it. It's dead.

O'BRIEN: That's it.

D. DOLAN: There isn't a lot of support for it. And actually, we were kind of hoping here on the set that Ken would stay in Columbus, but they sent him back.

But the fact of the matter is, the president is still going to try to push this through. They are now bringing in their big guns in the way of the heads of the House Ways and Means Committee, which will step on Charles Grassley's feet, who they were hoping initially would be the -- the guy who spearheaded reform in Social Security.

And the one thing I will say about Mr. Thompson of the House Ways and Means Committee, he does get something done. But I don't think it's going to be something that's going to be beneficial for you and me.

O'BRIEN: All right.

K. DOLAN: Miles -- Miles, I want to say one thing. Social Security privatization was never meant to save Social Security. It is simply a band-aid. It's not the answer. And I think it's a waste of time to debate it. We have much bigger problems in this country.

O'BRIEN: All right. And did you stay in your apartment in Columbus?

K. DOLAN: Yes, I did. Six bedrooms. I didn't think I need it that big.

O'BRIEN: All right. Dolans, always a pleasure. Appreciate it. Tomorrow, "DOLANS UNSCRIPTED," 10 a.m. Eastern Time. We invite you to tune in for lively conversation as you just witnessed here. And if you see test bars and tone, you know what happened. OK? All right.

D. DOLAN: Bye, Miles.

O'BRIEN: Back with more in a moment.

(BEGIN VIDEO CLIP)

PHILLIPS (voice-over): Next on LIVE FROM...

UNIDENTIFIED MALE: He told us that if we didn't support George bush, that we need to resign our position and get out of the church.

PHILLIPS: Mixing the pulpit and politics. A pastor excommunicates church members for voting for Democrats.

Later on LIVE FROM, are pocket pets making people sick? The Centers for Disease Control spots a troubling trend for furry friends.

Next week, the family of a woman killed on September 11 keeps her positive attitude and adventurous spirit alive. It's a new book designed to motivate you to fulfill your dreams. Her sisters join us on LIVE FROM.

(END VIDEO CLIP)

(COMMERCIAL BREAK)

PHILLIPS: Across America this hour, arrested in Florida, Patrick Wayne Bell. He's a convicted sexual predator sought since Tuesday when he removed his tracking bracelet and vanished. Well, somebody spotted him at a bus stop in Tallahassee and called the cops.

The FDA drawing fire. The agency will recommend to sperm banks that they bar homosexual men from anonymously donating sperm. Gay rights groups are outraged, claiming discrimination. FDA officials says men who have had homosexual relations in the last five years carry a high disease risk. This ban could go into effect this month.

And if you vote Democrat, you may not be welcomed here. Several members of the Baptist church in North Carolina say that their pastor gave them an ultimatum, support President Bush or find another church. Nine members were reportedly asked to leave. Forty others, we're told, also left in protest. We've asked the church to comment, but we haven't gotten a response.

O'BRIEN: All right. You looking for a job? You might have had some good news this past month. It appears that there's a little bit of hiring going on. Kathleen Hays with the full picture, joining us from the stock exchange.

Hello, Kathleen.

(STOCK REPORT)

(COMMERCIAL BREAK)

PHILLIPS: Now in the news, the two lead-off defense witnesses in the Michael Jackson case deny that the pop star ever molested them as boys, even though they spent numerous nights in Jackson's bedroom at Neverland Ranch. Prosecutors allege that the witnesses, now in their 20s, were among five boys that Jackson sexually molested in the 1990s. Actor Macaulay Culkin is expected to testify next week. He's publicly refuted any claims that Jackson molested him.

Back to business as usual on the Manhattan Bridge between New York City and Brooklyn. Police closed the bridge for about an hour this morning after receiving a report of a suspicious package. It turns out the red and black bag only contained clothing.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com


Aired May 6, 2005 - 13:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
KYRA PHILLIPS, CO-HOST: President Bush walking a diplomatic tight rope as he heads to Europe for a celebration. We're live from Riga, Latvia.
MILES O'BRIEN, CO-HOST: Pulpit politics. A pastor ex- communicates some church members. The reason? They voted for Democrats.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: And I told Arnie, I said, "Arnie, I've been hit." And Arnie helped grabbed the control, stabilized the aircraft while I tried to tend to myself.

(END VIDEO CLIP)

PHILLIPS: A pilot shot in the head. The passenger has to help out. We've got the rest of the story.

O'BRIEN: And the run for the roses. Who's going to be the lead horse in the final turn? We'll check out the favorites for the Kentucky Derby.

From the CNN Center in Atlanta, I'm Miles O'Brien.

PHILLIPS: And I'm Kyra Phillips. CNN's LIVE FROM starts right now.

Where were you on May 8, 1945? Most Americans alive today, George W. Bush included, weren't around then. But Mr. Bush is marking V.E. Day with a five-trip overseas, almost all of it behind what we used to call the Iron Curtain.

First stop, Latvia, one of many countries where victory in Europe, the end of World War II on the continent, was not a victory for freedom and democracy.

CNN's John King flew ahead of Air Force One to the Latvian capital of Riga. He joins us live.

Hi, John.

JOHN KING, CNN CORRESPONDENT: Hello to you, Kyra.

You mentioned this is the president's first stop. His main event, of course, is in Moscow for a big parade marking the 60th anniversary of the end of World War II in Europe.

And let's make it crystal clear, the Russians are not happy that Mr. Bush has decided to come here to Latvia first and then after Moscow he will go on to Georgia. Both Latvia and Georgia, former Soviet republics. Both have had tense relations with Vladimir Putin's Russia from time to time.

But the White House saying Mr. Bush wanted to stop here in Latvia first, Georgia on the back end of this tour to promote his second term message of freedom and democracy, to salute these former Soviet republics that are now independent democracies.

The Russians, though, already complaining about the president's schedule. They are taking offense, saying he's somehow snubbing what was planned a big event in Moscow.

And Mr. Bush angered the Russians even more as he prepared to head here to Latvia by sending a letter to Latvia's president. In that letter, Mr. Bush said this: "In western Europe the end of World War II meant liberation. In Central and Eastern Europe, the war also marked the Soviet occupation and annexation of Estonia, Latvia and Lithuania and the imposition of communism."

Moscow taking offense with that. It is the Soviet line throughout history, and it is Mr. Putin's line today that the Baltic countries invited the Soviets in after World War II. These countries, of course, forcefully reject that notion. They say they were occupied by Josef Stalin's army -- armies after World War II.

So some tension, Kyra, at the beginning of this trip. Mr. Bush will come here. He will meet with Baltic leaders. He will salute the small republics and their democracies before moving on to Moscow. This is a trip that will very much test that friendship Mr. Bush has claimed to have had with Mr. Putin since the very beginning.

The United States, of course, already complaining about other steps in Moscow it doesn't appreciate, including what the White House would call anti-Democratic steps by Mr. Putin. So a key test of what the president says is a very important friendship in the days ahead -- Kyra.

PHILLIPS: John King, live from Latvia, thank you.

O'BRIEN: Another glimpse today of that Australian-born engineer taking hostage in Iraq, along with a follow-up threat on his life.

Al Jazeera Television quoting the kidnappers of Douglas Wood as vowing to kill him if Australian doesn't pull its forces from Iraq in 72 hours. Wood, last seen Sunday on video, at which time kidnappers demanded the pull-out of Australian, American and British troops.

And Australia's prime minister vowed not to give in to terrorists. Wood is 63, said to suffer from a heart condition.

Another day of spectacularly brutal violence in Iraq. But this time not all of it seems squarely aimed at men in uniform. At least 29 people are dead in two suicide attacks. Fourteen others turned up executed in a Baghdad garbage dump.

CNN's Ryan Chilcote has the latest.

(BEGIN VIDEOTAPE)

RYAN CHILCOTE, CNN CORRESPONDENT: No let-up on the violence in Iraq today. Two separate suicide bomber attacks. The first one, the most recent one in the southern city of Suwayra, a suicide bomber blowing himself up in the middle of a very busy marketplace, killing at least 22, wounding at least 43. No sign of any military target there.

And in the northern city of Tikrit, another suicide bomber attack. This time the suicide bomber drove his car into a bus carrying Iraq police to work, killing at least seven of them, wounding three more. That was the third attack on Iraq's security forces in the last three days.

And lastly, a gruesome discovery in the Iraqi capital. The bodies of 14 Iraqi men were found in a garbage dump. All of them appeared to have been shot in the head execution style.

Ryan Chilcote, CNN, Baghdad.

(END VIDEOTAPE)

O'BRIEN: The general in charge of Abu Ghraib prison during those infamous abuses, not a general anymore. Call her Colonel Karpinski now. Janice Karpinski demoted in light of an Army investigation that substantiated charges of dereliction of duty and shoplifting.

Karpinski was cleared of lying to investigators and failing to obey orders, however. She insists the M.P.'s under her command who mistreated inmates were ordered to do so by military intelligence.

PHILLIPS: In transit today, Mr. Bush telephoned his congratulations to newly-reelected British Prime Minister Tony Blair. Blair led his Labor Party to an unprecedented third consecutive win in yesterday's voting. But the majority he'll command in Parliament is less than half of what it was.

Blair admits that he was badly hurt by his commitment to the war in Iraq.

(BEGIN VIDEO CLIP)

TONY BLAIR, BRITISH PRIME MINISTER: I know that Iraq has been a deeply divisive issue in this country. That's been very, very clear. But I also know and believe that after this election people want to move on. They want to focus on the future in Iraq and here.

(END VIDEO CLIP)

PHILLIPS: While Blair was tending to formalities today with the queen, the leader of the opposition Conservative Party was bowing out. Michael Howard says he did not achieve what he set out to achieve, though he did help the Torries add 30-odd seats to their total. Some expect Blair may have to step down, too, before his third term is up.

O'BRIEN: Days after reeling in al Qaeda's purported third in command, Pakistanis announce another big catch. Officials there say 18 of al-Libbi's alleged accomplices or associates picked up now in the past 48 hours. Some allegedly planning another attempt on the life of Pakistan's president, which was a pet project of al-Libbi's, allegedly.

The man described as al Qaeda's top attack planner said to be cooperating, more or less, with interrogators, who are briefing U.S. Officials.

In North Korea, red flags, or perhaps, a red herring. U.S. spy satellites have picked up signs that Kim Jong-Il may be planning his first test of a nuclear bomb or he may just want the world to think he's about to test a nuclear bomb.

The images reportedly depict a recent excavation at a suspected nuclear test site. Frequent movement of trucks and cranes, even the erection of an elaborate viewing stand a ways away. The Bush administration reportedly has given South Korea and Japan a heads up.

We'll dig into this a little deeper in our next hour. Former U.N. weapons inspector David Albright will be our guest.

And as you know, CNN is committed to providing the most reliable coverage of news that affects your security. Stay tuned for us day and night.

PHILLIPS: Straight ahead, scary moments in the skies. A pilot has a heart attack. So the passenger had a crash course and a crash landing. That story ahead on LIVE FROM.

And just in time for Mother's Day, the daughter of famed spiritual author Deepak Chopra has some promises she wants to keep to her own children. It's an amazing new book that will touch any mom's heart. Mallika Chopra, ahead on LIVE FROM.

ANNOUNCER: You're watching LIVE FROM on CNN, the most trusted name in news.

(COMMERCIAL BREAK)

O'BRIEN: It's good to be king, isn't it? Or in big business it's good to be the CEO. Perks aplenty for corporate powerbrokers. That's no secret. But one perk that apparently has been around for awhile just now coming to light.

Straight to the Dolans we go for some unscripted lowdown on dollars and rents.

DARIA DOLAN, CO-HOST, "DOLANS UNSCRIPTED": This is really nice. This is very nice, Miles. You're offloading all of this on us.

O'BRIEN: I'm not saying anything about the fact that the CEO of our company has this fancy apartment in Los Angeles. Why don't you explain this deal, OK?

KEN DOLAN, CO-HOST, "DOLANS UNSCRIPTED": Oh, yes. Sure, Miles.

O'BRIEN: And then I'll just listen and pretend like I didn't know anything about it later, OK?

K. DOLAN: Obviously, Miles does not have his resume ready. All right, Miles. Mile, you're one of our dear friends, worked in Boston. We love you. We happen to know, Miles...

D. DOLAN: Loved.

K. DOLAN: Loved. You're making like some of the CEOs, about $5 million a year. Now, here's my point, Miles. You're making 100,000 bucks a week.

O'BRIEN: Yes.

K. DOLAN: Why should we -- shareholders, not we -- why should we as shareholders have to pay for your apartment because you choose -- in Los Angeles or Chicago or Boston?

O'BRIEN: All right. We're getting ahead of our viewers. Let's give them the basics on this. What is coming to light here? This is the story the "Journal" just made that some titans of industry, including -- including at the top of our company, have second...

D. DOLAN: Keep saying, it, Miles.

O'BRIEN: Have second -- second homes which they, in turn, rent -- you know, charge rent to the company...

K. DOLAN: Right.

O'BRIEN: ... for use of those places in L.A., New York, wherever the case may be. And some people are saying this might be excessive. What would you say? You're on the hot seat right now.

Daria, go.

D. DOLAN: Well, for example, if you look at the case of our very own CEO, he lives here in New York, and he spends some time on the west coast in Los Angeles. For the amount of time supposedly that he was in Los Angeles last year, I think it would have been cheaper to get him a hotel room than to give him $4,000 a month to maintain the apartment he already has there.

O'BRIEN: No, he could have a very nice suite for the amount of time he's there.

D. DOLAN: Exactly. Because they're saying that, well, you know, it costs so much with food and with the hotel costs, et cetera, et cetera. But you can't tell me that the heads of all of these multi- national companies are cooking their own dinner when they go to these subsidized places. O'BRIEN: No, Dick Parsons cooks a mean omelet, as I understand it, and needs a kitchen, I guess. I don't know. What do you think, Ken?

K. DOLAN: Miles, also, let's not take Dick Parsons just to task.

O'BRIEN: Yes.

K. DOLAN: In the article it was Les Moonves. It was Tom Freston (ph). It was also Michael Eisner. Here's the deal. Here's what I say. I'm a shareholder for the sake of example.

I say don't give a monthly stipend to a place that somebody owns as a second home. If you're going to go to New York, you're going to go to L.A. or Chicago, we as a shareholder, we as a company for every night you're there we'll get you either a very nice hotel room -- now hold on, Miles.

O'BRIEN: Yes.

K. DOLAN: Either a very nice hotel room or we will pay you the equivalent of a hotel room while you're in your second home in your city. I have no problem with that.

O'BRIEN: That -- that...

K. DOLAN: But to pay X numbers of thousands of dollars a month to stay there once in awhile, I don't think makes sense.

O'BRIEN: I think that's a reasonable thing.

K. DOLAN: That's why a lot of shareholders are so mad.

O'BRIEN: All right. What about the sedan share rental? Is that too much? I want to -- I have to read a statement, because if I don't read the statement, we really will be fired.

D. DOLAN: OK.

O'BRIEN: Time Warner's response to Mr. Parsons' L.A. apartment is this. "It is a valid business expense to pay rent for Mr. Parsons' Los Angeles apartment. There are benefits in terms of convenience, security, and keeping business transactions confidential." OK?

D. DOLAN: But you know, they could do that with the company owning it, then. And certainly, if you're paying...

O'BRIEN: And then we can all use it. We can stay in the apartment, then, right?

D. DOLAN: Well...

K. DOLAN: It was a company apartment, yes.

D. DOLAN: Ten thousand a month going for Michael Eisner to an apartment that was once his mother's that he now owns, I'm assuming, as an inheritance. Well, when Michael Eisner leaves the Disney companies, he's still going to own that apartment, and he will sell it at a profit. Why shouldn't the company have sold something at a profit?

K. DOLAN: Miles, do you know of any other cable networks looking for hosts?

O'BRIEN: Just as long as you throw that out for the heck of it, yes.

D. DOLAN: Let me just say this in fairness or maybe just to hang onto my job.

O'BRIEN: Yes.

D. DOLAN: I will say that at least our own CEO, Dick Parsons, is getting the least amount of all these guys.

K. DOLAN: And I think -- Miles, I think one of the problems -- and not to focus in on anybody or any company -- an awful lot of shareholders are saying if a CEO should get paid reasonable perks if he or she is running the company. Clearly, it's a pressure-filled thing.

All we're saying is let's keep the -- let's keep the compensation tied to the success of an individual company X, Y, Z.

O'BRIEN: Yes.

K. DOLAN: And if a person chooses and if a CEO chooses to travel, pay for them the hotel room, even if they own a place.

O'BRIEN: Get them out of the trough.

All right. You know what? These guys don't really rely on Social Security, nor will they ever need Social Security, right?

K. DOLAN: Yes, yes.

O'BRIEN: But then there are the rest of us that are concerned about Social Security. I know you're going to be talking about that a lot in the program this -- which airs tomorrow, of course, presuming not another runaway bride or something like that.

K. DOLAN: Or we don't get fired tonight or this afternoon.

O'BRIEN: Or perhaps this could be our last appearance. But tell us a little bit about Social Security. What are you hearing? When you ask people about these private accounts, what's the response?

K. DOLAN: I was in Columbus, Ohio. One of the things we're going to be doing, Miles, is Columbus, Ohio, is a demographic middle of America. All the surveys go out of there, a lot of the surveys. And we'll talk about the results tomorrow on the show.

But let it suffice to say a little inkling of what happened is private accounts, D-E-A-D. Forget it. It's dead.

O'BRIEN: That's it.

D. DOLAN: There isn't a lot of support for it. And actually, we were kind of hoping here on the set that Ken would stay in Columbus, but they sent him back.

But the fact of the matter is, the president is still going to try to push this through. They are now bringing in their big guns in the way of the heads of the House Ways and Means Committee, which will step on Charles Grassley's feet, who they were hoping initially would be the -- the guy who spearheaded reform in Social Security.

And the one thing I will say about Mr. Thompson of the House Ways and Means Committee, he does get something done. But I don't think it's going to be something that's going to be beneficial for you and me.

O'BRIEN: All right.

K. DOLAN: Miles -- Miles, I want to say one thing. Social Security privatization was never meant to save Social Security. It is simply a band-aid. It's not the answer. And I think it's a waste of time to debate it. We have much bigger problems in this country.

O'BRIEN: All right. And did you stay in your apartment in Columbus?

K. DOLAN: Yes, I did. Six bedrooms. I didn't think I need it that big.

O'BRIEN: All right. Dolans, always a pleasure. Appreciate it. Tomorrow, "DOLANS UNSCRIPTED," 10 a.m. Eastern Time. We invite you to tune in for lively conversation as you just witnessed here. And if you see test bars and tone, you know what happened. OK? All right.

D. DOLAN: Bye, Miles.

O'BRIEN: Back with more in a moment.

(BEGIN VIDEO CLIP)

PHILLIPS (voice-over): Next on LIVE FROM...

UNIDENTIFIED MALE: He told us that if we didn't support George bush, that we need to resign our position and get out of the church.

PHILLIPS: Mixing the pulpit and politics. A pastor excommunicates church members for voting for Democrats.

Later on LIVE FROM, are pocket pets making people sick? The Centers for Disease Control spots a troubling trend for furry friends.

Next week, the family of a woman killed on September 11 keeps her positive attitude and adventurous spirit alive. It's a new book designed to motivate you to fulfill your dreams. Her sisters join us on LIVE FROM.

(END VIDEO CLIP)

(COMMERCIAL BREAK)

PHILLIPS: Across America this hour, arrested in Florida, Patrick Wayne Bell. He's a convicted sexual predator sought since Tuesday when he removed his tracking bracelet and vanished. Well, somebody spotted him at a bus stop in Tallahassee and called the cops.

The FDA drawing fire. The agency will recommend to sperm banks that they bar homosexual men from anonymously donating sperm. Gay rights groups are outraged, claiming discrimination. FDA officials says men who have had homosexual relations in the last five years carry a high disease risk. This ban could go into effect this month.

And if you vote Democrat, you may not be welcomed here. Several members of the Baptist church in North Carolina say that their pastor gave them an ultimatum, support President Bush or find another church. Nine members were reportedly asked to leave. Forty others, we're told, also left in protest. We've asked the church to comment, but we haven't gotten a response.

O'BRIEN: All right. You looking for a job? You might have had some good news this past month. It appears that there's a little bit of hiring going on. Kathleen Hays with the full picture, joining us from the stock exchange.

Hello, Kathleen.

(STOCK REPORT)

(COMMERCIAL BREAK)

PHILLIPS: Now in the news, the two lead-off defense witnesses in the Michael Jackson case deny that the pop star ever molested them as boys, even though they spent numerous nights in Jackson's bedroom at Neverland Ranch. Prosecutors allege that the witnesses, now in their 20s, were among five boys that Jackson sexually molested in the 1990s. Actor Macaulay Culkin is expected to testify next week. He's publicly refuted any claims that Jackson molested him.

Back to business as usual on the Manhattan Bridge between New York City and Brooklyn. Police closed the bridge for about an hour this morning after receiving a report of a suspicious package. It turns out the red and black bag only contained clothing.

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