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Egypt Attack; Lessons Learned From London

Aired July 26, 2005 - 14:00   ET

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

KYRA PHILLIPS, CNN ANCHOR: Up, up and away. A seemingly picture-perfect launch, and this time a hundred special cameras were watching. We've got the video.
Lessons learned from London. What's being done to make American trains safer from terrorism? We're live from Washington, where it's a hot topic on Capitol Hill.

And take two candy bars and call me in the morning. Researchers, they tell us the medical benefits of chocolate.

From the CNN Center in Atlanta, I'm Kyra Phillips. This hour of CNN's LIVE FROM starts right now.

The crew of the Space Shuttle Discovery must have had a pretty terrific view just about now, the vastness of space, dotted by stars, and the blue-green Earth rotating majestically below. It's been less than four hours since the spectacular launch, but NASA officials say there's only one thing better than today's takeoff, and that's a safe landing in 12 days.

Here's a look and listen at how things unfolded at the Kennedy Space Center early this morning.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: Six, five -- three engines up and burning -- three, two, one, and liftoff of Space Shuttle Discovery.

WAYNE HALE, NASA DEPUTY PROGRAM MANAGER: My heart's been in my throat all morning. It's a great day. And to think that here we are today, with Americans back in flight on an American vehicle is just a tremendous step. And it will be the first in many steps as we head out into the exploration of the solar system, back to the moon, and on to Mars.

And this team showed the kind of spirit and dedication to overcome difficulties that that is going to take. And I couldn't be more proud of them. It's a great day.

MICHAEL GRIFFIN, NASA ADMINISTRATOR: The power and the majesty of the launch, of course, but also the competence and the professionalism, the sheer gall, the pluckiness, the grittiness of this team that pulled this program out of the depths of despair two- and-a-half years ago and made it fly.

WILLIAM REEDY, NASA ASSOCIATE ADMINISTRATOR FOR SPACE OPERATIONS: I think today Mother Nature smiled on us, and I also think the Columbia crew smiled on us. We owe them and their families a debt of gratitude, the entire NASA family does. And to get Eileen and her crew up safely in orbit today with a pristine vehicle, superb count, I just can't say enough good things about the team that I've been fortunate to be associated with.

(END VIDEOTAPE)

PHILLIPS: Get your Shuttle Discovery news fix any time at CNN.com, where you can also follow a play-by-play account of the launch through Miles O'Brien's shuttle log -- or blog, rather. And there's a quiz testing your knowledge of the shuttle program's 24-year history. Miles loves quizzes, and he always loves you to be right.

Well, new developments in the investigation into Egypt's latest terror attack. Officials now are distancing themselves from reports that Pakistanis may have been involved. More than 80 were killed yesterday when two bombs went off in the Red Sea resort of Sharm el- Sheikh.

CNN's Chris Burns joins us now with the very latest.

I understand you have some new developments, Chris. What do you know?

CHRIS BURNS, CNN CORREPONDENT: Well, Kyra, the latest development is that they finally identified at least one of the bombers. They say, according to reports here, that they have identified Yousef Badran (ph), who lives in the northern part of this region as one of the suicide bombers. In fact, the one that drove the truck full of several hundred pounds of explosives into a hotel here, killing at least 17 people.

Altogether, among the three bombings, more than 80 people have been killed, including a number of foreigners, including an American woman. Her English boyfriend is missing.

The other development is a bit of damage control. The Egyptian ambassador to Islamabad went over and told them that, look, there is no obvious Pakistani link to these bombings, even though there had been a number of reports coming out of here in recent days saying that there could very likely have been. And an independent newspaper here is continuing to report and show the pictures of five Pakistanis who entered the country illegally a number of days ago, checked into a hotel here in Sharm el-Sheikh on July 7, the day that the London bombings occurred, and then disappeared.

And authorities have said that they had been looking for these men even before the bombings here in Sharm el-Sheikh. And so there remain a number of questions in this investigation -- Kyra.

PHILLIPS: All right. Chris Burns with the latest developments there out of Egypt. We'll continue to check in with you as you get those new bits of information.

BURNS: Thank you. PHILLIPS: Chris, thank you so much.

And right now British police are searching a north London building linked to two terror suspects now. An apartment there is registered to Yasin Hassan Omar, accused of trying to bomb London's Warren Street underground station last night. And Muktar Said Ibrahim, accused of targeting a double-decker bus that same day, reportedly visited there recently.

Now, investigators are examining what they call suspicious material found in Omar's apartment. And as the probe continues, British Prime Minister Tony Blair responded to claims that terrorists targeted the United Kingdom because of its involvement in the Iraq war.

(BEGIN VIDEO CLIP)

TONY BLAIR, BRITISH PRIME MINISTER: They will use Iraq to try and recruit or motivate people. They will use Afghanistan. Before Iraq and Afghanistan on September 11th, which happened before those two things, they used other things. But I think most people understand that the roots of this go far deeper. And in any event, where does this argument take us in the end?

And I want to make one thing very clear to you. Whatever excuse or justification these people use, I do not believe we should give one inch to them.

(END VIDEO CLIP)

PHILLIPS: Well, British transit officials, meanwhile, are trying to assure riders they're doing everything they can to maintain that security.

(BEGIN VIDEO CLIP)

TIM O'TOOLE, LONDON TRANSPORT DIRECTOR: One, is pulling different security services that you can. So we have a record number of police out on the network. We have sniffer dogs at the major stations so they can detect explosives in bags. We have a lot of undercover police throughout the network, but then it's also about collective behavior of all the riders, people just being a little bit more aware of their surroundings, asking questions if they see something suspicious, bringing things to the attention of station staff.

(END VIDEO CLIP)

PHILLIPS: Despite those assurances, the Transit Union is demanding more security measures on the London tube, and it's threatening a possible strike if demands are not met.

Now, on our CNN "Security Watch," is there any way we can prevent a London-style transit attack from happening here in the United States? Well, a House subcommittee is holding hearings now.

Our Homeland Security Correspondent Jeanne Meserve monitoring it all from Washington.

What do you know, Jeanne?

JEANNE MESERVE, CNN HOMELAND SECURITY CORRESPONDENT: Kyra, they are talking about money. Since 9/11, the federal government has given the airlines about $18 billion to improve security. Transit systems have gotten only $250 million, despite the fact that they carry many times more passengers.

Today, Polly Hanson, the D.C. Metro police chief, told the congressional subcommittee that her system has seen a precipitous decline in security funding. Prior to the creation of the Department of Homeland Security, she says her system got $49 million for security.

(BEGIN VIDEO CLIP)

CHIEF POLLY HANSON, D.C. METRO TRANSIT POLICE: And it was spent on things you could see and touch,: intrusion alarm upgrades, K9, explosive detection equipment, personal protective equipment for our employees. Since the creation of DHS and ODP's transit grant program, (INAUDIBLE) will or has received about $15 million.

(END VIDEO CLIP)

MESERVE: The budget has proposed by the president requests $600 million to protect rail, inter-city bus, highways and ports. But transit officials today said they don't want to have to compete with ports and others for a piece of that pie. They want money dedicated purely and completely to mass transit -- Kyra.

PHILLIPS: Well, Jeanne, what does the administration have to say about this?

MESERVE: Well, Homeland Security Secretary Michael Chertoff was asked about this just yesterday at a congressional hearing. He argued that the federal government needs to maximum flexibility in deciding how and where to spend money.

(BEGIN VIDEO CLIP)

MICHAEL CHERTOFF, HOMELAND SECURITY SECRETARY: I think it's important that we create a funding system that is nimble enough to respond not only to what the terrorists did yesterday or two weeks ago, or in Egypt at hotels, but to what they might be planning to do.

(END VIDEO CLIP)

MESERVE: The administration also argues that state and local governments have received more than $8.5 billion in homeland security grants which they could have chosen to spend on mass transit. But at the hearing, some members of Congress weren't buying it. They said that would have diverted money from first responders and other pressing homeland security needs -- Kyra.

PHILLIPS: All right. Jeanne Meserve, live from Washington. Thank you so much.

And bound for London again after a nine-hour unscheduled stopover, United Airlines Flight 934 from L.A. was diverted early this morning to Boston because of security concerns. Three passengers, all Pakistani, were reported -- reportedly acting suspicious.

Now, everyone was taken off that plane and all bags were searched. The plane resumed its trip to London about two hours ago without the three passengers at the center of the scare on board. They were questioned, released and reportedly took another flight to London.

Stay tuned to CNN for the latest information day and night on news that affects your security.

Straight ahead, a wild chase through the streets of, where else, L.A. Check this out. A police cruiser smashes into a building. We're going to show you how the chase ended just ahead on LIVE FROM.

And a horrible accident at an international gathering of Boy Scouts. New information now about what happened. We'll have that straight ahead.

JACQUI JERAS, CNN METEOROLOGIST: And yet another day of oppressive heat to cross the East. When will the relief come? We'll let you know coming up.

(COMMERCIAL BREAK)

PHILLIPS: Well, the day got off to a wild start on the streets of Los Angeles. A California Highway Patrol officer was injured when his cruiser failed to make a hard right turn during a car chase. And yes, went right through a building wall. Amazingly, he's said to be in good shape. The two suspects he was chasing were eventually captured when the driver abandoned the car and tried to escape on foot.

Dramatic pictures out of Illinois today. That's the state of a DOT helicopter right now on its side on the shoulder of the road. It crashed near a busy interstate toll way in suburban Chicago. All four people on board survived that crash and are being treated for minor injuries. Police say no one on the ground was hurt.

And grief counselors are hand today at the national Boy Scout Jamboree in Virginia. Four scout leaders were killed there yesterday in a freak accident that has cast a somber pall over the normally jubilant gathering.

Our Kathleen Koch is in Bowling Green -- Kathleen.

KATHLEEN KOCH, CNN CORRESPONDENT: The Boy Scouts here, Kyra, are literally in shock today. Officials saying that this is the worst tragedy that has ever occurred in all the years of this national jamboree.

And Boy Scout officials say that apparently what happened is that on Monday, sometime between 4:30 and 5:00 p.m., contract workers here at Fort A.P. Hill were erecting a very large dining tent for two Boy Scout troops from Alaska. And at some point, the central pole of that dining tent touched a live power line, sending a surge of electricity apparently into the ground.

Now, all the Boy Scouts will say is that those four leaders who were killed were nearby. Not clear whether or not they were actually touching the pole.

Now, three people were injured, one a Boy Scout leader, two contract workers. They're all said to be in stable condition.

A Boy Scouts of America spokesman became emotional as he offered condolences to the dead men's families.

(BEGIN VIDEO CLIP)

GREGG SHIELDS, BOY SCOUT SPOKESMAN: Our hearts go out to the families. Excuse me. Our hearts go out to the families of these dedicated scout leaders who gave so much to their sons, their troops and their communities.

(END VIDEO CLIP)

KOCH: Again, a very difficult time for all members of the Boy Scouts.

And the men killed appeared in a photo that was taken last week on the steps of the U.S. Capitol with Alaska Senator Ted Stevens. They are 58-year-old Ron Bitzer; 42-year-old Michael Lacroix (ph); and 49-year-old Michael Shibe (ph) of Anchorage; as well as 57-year-old Scott Powell (ph). He's a leader from Alaska who had recently moved to Ohio.

The Boy Scout officials do confirm that several scouts in the troop, perhaps as many as 30, witnessed the electrocution, including the sons of two of the men killed, Shibe (ph) and Lacroix (ph). Those boys right now are on their way home to Alaska. Investigators are trying to find out, Kyra, how this accident happened.

PHILLIPS: All right. Kathleen Koch, thank you so much. We'll follow the investigation.

Well, hot weather in the middle of July is not exactly a surprise. But in much of the U.S., temperatures have reached the unbearable mark. The steamy conditions have people struggling to keep cool now and wondering when that heat wave is going to ease up.

Let's get some answers hopefully from meteorologist Jacqui Jeras.

(WEATHER REPORT)

PHILLIPS: Well, straight ahead, a life-and-death struggle caught on tape. A surveillance camera captures a would-be robber as he pulls a gun. And securing America's trains. What is being done to make transportation safer after recent attacks in London? We're going to talk about it with our security expert straight ahead on LIVE FROM.

SUSAN LISOVICZ, CNN CORRESPONDENT: I'm Susan Lisovicz at the New York Stock Exchange. Coming up, chocoholics may be on to something. I'll tell you what one company says an ingredient in chocolate can cure next on LIVE FROM.

(COMMERCIAL BREAK)

PHILLIPS: Two of Atlanta's most newest and most unusual residents were introduced to the media just hours ago. Ralph and Norton are whale sharks and the only adolescents living in captivity in the western hemisphere. The pair will be centerpieces at the new Georgia Aquarium, swimming in a tank the size of a football field.

They're going to need a lot of room. Whale sharks can grow to more than 35 feet in length. The Georgia Aquarium, billed as the largest in the country, is set to open in November.

Well, can a bag of M&Ms a day keep the doctor away? The maker of the bite-size candies exploring the medicinal benefits of chocolate.

(STOCK MARKET REPORT)

(COMMERCIAL BREAK)

PHILLIPS: "Now in the News," more than two years after the Columbia disaster, NASA is back in the human space flight business. The Shuttle Discovery roared into space under a nearly cloudless Florida sky this morning. It was beautiful. It's a 12-day mission now that will take it to the International Space Station.

From Egypt, reports that investigators have identified a body they suspect was one of the suicide bombers in Saturday's deadly blast. According to wire service reports, authorities say the man was an Egyptian with ties to Islamic militants. The attacks in Sharm el- Sheikh killed at least 84 people.

Talking again. Ten months after walking away from the table, North Korea is back in China for six-party talks aimed at eliminating nuclear weapons on the Korean peninsula. Diplomats from the U.S., China, Russia, Japan and South Korea are working to convince Pyongyang to dismantle its nukes program.

A change of venue, that's what a California public defender is seeking for a man accused of molesting two 12-year-old cousins. She cites too much pretrial publicity in the case of suspected serial molester Dean Schwartzmiller. Police say journals found in his home suggest he may have victimized hundreds of children in several states and countries.

Now, as we reported earlier, a House subcommittee is holding hearings on transit security. The transit attacks in London have revived fears of possible terror attacks on trains or buses here in America.

CNN Security analyst Clark Kent Ervin was inspector general for the Homeland Security Department, now a CNN security analyst.

Good to see you.

CLARK KENT ERVIN, CNN SECURITY ANALYST: Good to see you, Kyra.

PHILLIPS: Let's go ahead and talk about these hearings first. What should we expect from them? And then I've got a couple of questions for you with regard to police in the U.S. and some new training that's taking place.

ERVIN: Well, I'm quite sure that the secretary was asked about the funding imbalance. The fact that we've now had three wake-up calls, the first being the Madrid bombings about a year-and-a-half ago, indicate that we ourselves here in the United States are very vulnerable, I'm afraid to say, to a terrorist attack in our own mass transit systems. And the funding is really out of whack.

At the federal level, we've spent somewhere between $18 billion to $20 billion to secure aviation and only about $250 million at the federal level, going to state and local transit authorities to secure that mode of transportation, even though about six -- 16 times as many people take public transportation every day as aviation.

PHILLIPS: OK, so asking for more money to, what, beef up security, have more checks and balances, work on intelligence? I mean, what would that money -- you want preventive maintenance more than you want response.

ERVIN: Well, you really want everything. For example, there was a very good editorial in "The New York Times" today pointing out New York has, of course, increased police presence. They've doubled the number of police officers patrolling the subway, metro systems. And that cost about $2 million a week. State and localities are strapped, and so they need some federal help to deal with, at the end of the day, what is a national security matter.

We need more police. We need bomb-sniffing dogs. We need cameras. Cameras proved their worth in London after the fact by being able to help identify the perpetrators. And all these measures, I should hasten to say, can have a preventive effect. They can deter terrorists from even attempting it, which, needless to say, we all want to do.

PHILLIPS: Now, suicide bombing is definitely bringing an urgency to police throughout the United States. I was reading specifically in Seattle, they're doing suicide bombing training, and that possibly this will move into L.A., Boston, other big cities. I know New York even has a homicide detective that works under Ray Kelly (ph) that goes over to Israel and other countries to learn about suicide bombings that take place and bring training back.

But is this something that is going to start -- I mean, say, for example, you become a police officer or you become a SWAT officer. Automatically you're going to have suicide bombing training.

ERVIN: Well, I don't know if it will be automatic, but certainly these are steps in the right direction. And we need to increase the number of officers who are trained in suicide bombings, at least in those cities that are most at risk of attack, the high population cities.

You know, until the London bombings on July 7th, suicide bombings had not occurred in the West. And now that they've happened in London, we know we're at risk in the United States. At the end of the day, they're very difficult to prevent because after all, of course, the terrorist is willing to give his life in order to perpetrate one.

On the other hand, going to Israel for expertise in this regard is very, very important. Of course, they've had more experience with this than anyone else. They're very good at not racial or ethnic profiling, but psychological profiling, to tell people who are nervous, who might be perspiring in such a way as to indicate that they are carrying a bomb. And also bulky clothing in hot summer days, that kind of thing. So we need to learn from the expertise of the Israelis in this regard, lest we not be protected if suicide bombings occur in this country.

PHILLIPS: Well, do you think we'll see more of a law enforcement exchange? I mean, obviously, the United States and Israel have strong relations and it seems like we're always covering the suicide bombings that take place overseas. Wouldn't it be nice to cover how law enforcement and maybe Israeli police and military are teaching us a little bit more about suicide bombings and how to detect what might happen versus having to -- like you said -- deal with racial profiling?

ERVIN: Absolutely. There's no question. As I say, the Israelis have, unfortunately for them, more expertise in this area than anyone else in the world and we certainly need to learn from their expertise.

PHILLIPS: All right, let's talk about -- I was reading about the National Bomb Squad Commanders Advisory Board. Working with more than 450 bomb squad units, it's now drafting the first national protocol for suicide bomber response. Tell me how this will be effective and how this should be -- I guess how it should be implemented. What should be a part of this protocol to help deal with suicide bombers?

ERVIN: Well, it's very important that steps like this be taken, that a protocol be drafted, because this kind of step-by-step procedure can be shared with police forces throughout the United States so that each learns from the experiences of others. This kind of information sharing needs to happen extensively throughout the law enforcement community with regard to bombing and so this, too, is a step in the right direction.

PHILLIPS: All right. Give us a reality check. Money. These are all great ideas. We all want to see them happen. We all want to feel secure. We want to see specialized training, and we want to be ahead of the curve when it comes to a threat like a suicide bomber. But how do you go about, -- seeming with all this money going to security here in the United States but also overseas, funding Afghanistan, Iraq -- where does the money come from? How do we go about getting this money? It should be quite a fight.

ERVIN: Well, it -- yes. It's a question of priorities, Kyra. As you say, these are very, very tight budgetary times. All of this costs a lot of money. But I think it's telling that the budget of the Department of Homeland Security, around $35 billion or so, $35 to $40 billion, is almost exactly a tenth that of the Department of Defense. And yet Homeland Security is part and parcel of the national defense. If the homeland is insecure, the nation is undefended.

So we need to increase, I think, rather significantly the amount of money we devote to this, and that means cutting spending in other areas, I'm afraid to say. We cannot scrimp when it comes to the security of the United States.

PHILLIPS: Clark Kent Ervin, thank you so much. I appreciate your insight today.

ERVIN: Thank you.

PHILLIPS: Well, checking other news from around the world now, the confessed killer of a Dutch filmmaker will spend the rest of his life in prison. That sentence was happened down to Mohammed Bouyeri as the harshest possible. During his trial, an unapologetic Bouyeri said he killed Theo Van Gogh because one of his films had insulted Islam.

Israel criticizes the new pope for what it calls a deliberate failure to condemn terrorist attacks against Jews. Sunday, Pope Benedict XVI condemned recent attacks in several countries, but not Israel. A Vatican spokesperson says the pontiff's words applied to all terror attacks in recent days.

The U.S. military won't have to find a new home for its Afghanistan support operation anytime soon. Defense Secretary Donald Rumsfeld says he's been assured by officials in Kyrgyzstan that the U.S. can help by using an air base there until the situation in nearby Afghanistan is stabilized.

Straight ahead, a deal on Capitol Hill over guns that has some members of Congress firing mad. That's ahead on LIVE FROM.

Also, this video. It will shock you and amaze you at the same time. An armed robbery caught on tape that takes a deadly turn.

And it sends chills through just about everybody who sees it. An American diver does a nose dive -- ooh -- right on the board. Yes. She talks about how it happened, what it felt like and how she is never going to do it again.

(COMMERCIAL BREAK)

PHILLIPS: Well, an immunity deal for gunmakers is raising the eyes of lawmakers today. Four senators condemning the proposed gun liability measure. It would protect firearm makers and dealers from lawsuits based on the misuse of its legally-sold products. But the bill would not protect distributors who sell guns illegally. Opponents say the bill would make gunsellers the only industry in America immune to civil negligence.

(BEGIN VIDEO CLIP)

SEN. DICK DURBIN (D), MINORITY WHIP: Why are we doing this? Why are we so hell bent on considering this bill? Why are we pushing The department of Defense Authorization Bill off the calendar? Why are we walking away from these critical amendments so that this special interest group can have a special gift from the Republican leadership in the United States Senate?

(END VIDEO CLIP)

PHILLIPS: Well, that vote to end debate on the bill could happen as early as tomorrow morning.

Well, an attempted armed robbery took a deadly turn this weekend. Three men at gunpoint in a D.C. apartment building lobby -- well, they fought back. Their life-and-death struggle was caught on tape, too. Dave Statter of our affiliate WUSA brings us the gripping images.

(BEGIN VIDEOTAPE)

DAVE STATTER, "WUSA 9 NEWS" CORRESPONDENT (voice-over): Twenty- two-year-old Sarvanda Hernandez talking with his buddies at there apartment building on 15th Street Northwest. It is very early Saturday morning and the men had just returned from a late dinner. In one of the final acts of his young life, Servando Hernandez opens the locked lobby door to let a man in. Police now know the man as 19- year-old Malcolm Piersol of Northwest.

UNIDENTIFIED MALE: My friend opened the door.

STATTER: Luis Sorlito and Pablo Plamico (ph) are two of the other men on the tape. They say Pearsall came in, took the elevator up and then walked down the stairs, pulled a gun and demanded money.

UNIDENTIFIED MALE: He said: Hey, give me the money.

STATTER: The fourth man, Pablo Plamico (ph) cousin starts fighting with the gunmen and others join in. It appears that early in the fight Plamico's (ph) cousin is shot twice. The cousin is now recovering from his wounds.

UNIDENTIFIED MALE: One for here and one in the stomach.

STATTER: The fight continues and it's at this point we stop the tape just before the shot that hit Servando Hernandez in the head and kills him. After Hernandez falls to the ground Luis Sorlito and Pablo Plamico keep on fighting. It's a violent struggle over control of the gun. That's Luis trying to take the gun away and Pablo pulling the man's hair.

UNIDENTIFIED MALE: My friend take the hair. I take the gun.

STATTER: The struggle moves to the steps. If you look closely in the bottom right of the screen, you will see another shot fired. It almost hits Luis Sorlito (ph) in the head.

UNIDENTIFIED MALE: Pulled the gun from my face. I cover my face, shot and I now no hear good with my ear.

STATTER: Pablo Plamico says during the fight the man bit his finger. More punches, more kicks, more struggling. It takes a while, but eventually Sorlito and Plamico get the upper hand. Luis Sorlito gets the gun and is now pointing it at the man that killed one of his friends and wounded the other. The man runs out the door south on 15th street with Pablo Plamico giving chase.

(on camera): You could have been killed.

UNIDENTIFIED MALE: Yes.

STATTER: You could have been killed.

UNIDENTIFIED MALE: Yes, he wanted to kill me.

(END VIDEOTAPE)

PHILLIPS: Well, police identify the robbery suspect as Malcolm Purseall and arrested him. His attorneys are challenging that videotape evidence. Prosecutors are expected to file new charging documents in that case today.

An American diver on the mend. Check this out. Chelsea Davis attempting a dive Friday at the World Aquatic Championships in Montreal, but she was too close to the board and you saw it, she smacked her face. She didn't break her nose, though. Can you believe that? She did need a few stitches. Davis and her coach talked about the accident with CNN's Carol Costello on "AMERICAN MORNING."

(BEGIN VIDEOTAPE)

CHELSEA DAVIS, DIVER: I was conscious through the whole thing and I remember being up on the board and I was really excited to dive and do my next two dives because they were my best two dives and I was doing really well. So, I remember the whole thing as it happened and I hit the board and I fell in the water and I saw all the blood around me. It was really shocking.

CAROL COSTELLO, HOST: I just saw it again and it makes me wince. Chelsea has requested we turn the monitors away from her so she won't see it. Why don't you want to look at that, Chelsea?

DAVIS: I don't want that image replaying in my mind when I get up on the board and try the dive again sometime in the near future so --

COSTELLO: Yes. You were going to compete again, because there were more rounds on Sunday, but Drew, you said no way, why? DREW JOHANSEN, DIVING COACH: Well, the emotion of the injury, she physically with the nasals, the nose being broken and going under water the pressure that's created down there, we didn't want to risk any more injury. Even though the spirit was willing, the body wasn't.

DAVIS: Well, I haven't gotten back in the gym yet, but I'm planning on getting back in the gym and starting training again really soon within the next few days and I will work on that dive in the water belts (ph) up until that point where I do it by myself again. And it really shouldn't take long, because Drew will help me get through it and my first one, I'm sure, will be really far out in the middle of the pool, but I'm pretty -- I'm ready to get back in the water and start training.

(END VIDEO CLIP)

PHILLIPS: Good for you, Chelsea.

Well, a magazine that's been a staple on coffee tables for years is getting a major makeover. That's ahead in business.

Plus: Happenings in Hollywood. A change of heart for one moviemaker when it comes to purple hearts. Sibila Vargas with that and more.

SIBILA VARGAS, CNN HOLLYWOOD CORRESPONDENT: That's right, Kyra, and when will "Star Wars" fans finally get to watch the entire saga on DVD?

And what does Mel Gibson's next movie have in common with "The Passion of the Christ?" We'll have the answers when LIVE FROM continues.

(COMMERCIAL BREAK)

(MARKET UPDATE)

PHILLIPS: Well, responding to complaints from U.S. veterans, producers of the movie "Wedding Crashers" have agreed to stop encouraging guys to use fake war medals to pick up women.

CNN's Sibila Vargas has the scoop on that and more in today's entertainment report. I always thought it was wearing a flight suit was the way they did it. I didn't know it moved into medals now.

VARGAS: Yes, the Purple Heart. You know, yesterday we told you about a Congressmen who had a bone to pick with the film "The Wedding Crashers."

(BEGIN VIDEO CLIP)

VINCE VAUGHN, ACTOR: But, I got us covered. Purple Hearts. We won't have to pay for a drink all night.

OWEN WILSON, ACTOR: Oh, yes, perfect.

(END VIDEO CLIP)

VARGAS: The anger stemmed from the fact that in the movie Owen Wilson and Vince Vaughn's characters pretend to be Purple Heart recipients. The movie's Web site even had a cut-out Purple Heart advertised as gimmicks to get girls, infuriating some war veterans. Well, producers of the film have gotten the message and pulled the Purple Heart from the Web site. Spokesmen for New Line Cinema says, "We understand the significance of the medals and didn't mean to make light of them in any way."

In other movie news, Stephen Spielberg has unveiled the name of his Olympic-sized saga. The director is calling the film "Munich." The film centers around the horrific events that unfolded during the 1972 Olympics, where 11 Israeli athletes were killed. "Munich" opens in December and stars Eric Bana and Geoffrey Rush.

Well, great news for "Star Wars" fans. The force is coming to a video store near you.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: This is where the fun begins.

UNIDENTIFIED MALE: Let them pass between us.

(END VIDEO CLIP)

VARGAS: The last installment, "Revenge of the Sith," will be available on DVD November 1st. The two-disc set will include a behind-the-scenes documentary and featurettes on the movie's stunts and Anakin Skywalker's turn to the dark side. But that's not all, folks. Lucas Film also announced that it will release the franchise's new video game "Battlefront Two" on the same date.

And finally, he directed one of the most controversial and financially successful films ever made. Now Mel Gibson is on to his next epic. The director who brought you "Passion of the Christ" is planning his next historical epic, called "Apocalypto." Like "Passion," Gibson will bankroll this project himself. And like "Passion," which was mostly in Aramaic, the film will feature an ancient language. "Apocalypto"'s dialogue will be spoken in obscure Mayan dialects, so you'll break out your foreign language dictionary or just look at the subtitles. The film comes out next summer.

Kyra, back to you.

PHILLIPS: All right, Sibila, thank you.

Well, the heat is on across much of the country. We're going to check in with Jacqui Jeras for the latest heat advisories, just ahead.

And a very disturbing scene in Georgia, a lynching. But this one was played out before the cameras. It's a re-enactment, but it was the real thing about five decades ago. We're going to talk about why this took place and the important message that it carries. Don't go away. You've got to see this. We'll be right back. (COMMERCIAL BREAK)

PHILLIPS: "Now in the News," Islamic Web sites post a death sentence for two Algerian diplomats, but there's no word on whether the threat has been carried out. The men were kidnapped Thursday from Baghdad's Mansur neighborhood. Algeria's foreign minister tells Algerian TV it had withdrawn other diplomats and their families from Iraq after the abductions.

Meanwhile, turning up the anti-war heat in Arizona, five women who call themselves the "Tucson Raging Grannies" face misdemeanor trespassing charges after they tried to enlist at a military recruitment center. They've been raising a ruckus outside the center for the past three years, saying the recruits have been lied to. The judge has set their pre-trial hearing for August 19th.

A car chase in L.A. ends in an arrest, but not before a highway patrol officer missed a hard right turn and crashed through a building. The officer was not injured. The suspect was nabbed shortly afterward. He's being held on a $1 million kidnapping warrant now. Other charges are likely.

Real estate is looking up in Chicago, especially if developer Christopher Carley has his way. Carley is planning a 115-story building that would eclipse the Sears Tower to become the nation's tallest. But the plan could be just pie in the sky. Carley doesn't have financing for his skyscraper just yet.

Good luck and godspeed and have a little fun up there. Those are NASA's instructions for the seven astronauts on the Space Shuttle Discovery today. The ship is speeding toward the International Space Station right now after a morning full of emotion and suspense.

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