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President Bush Fires Back at Iraq War Critics; Sorting Out the Major Players in the War on Terror; New Orleans Lingo

Aired November 11, 2005 - 15:00   ET

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

KYRA PHILLIPS, CNN ANCHOR: Well, on this President -- or Veterans Days, rather -- President Bush took to the stage and fired a broadside at critics of the Iraq war.
Speaking to a largely military audience in Pennsylvania, Mr. Bush defended his decision to invade Iraq three years ago. He minced no words in lashing out at critics who charge the administration manipulated pre-war intelligence to justify going to war.

That speech came at a time when polls show a majority of Americans now oppose, the war, and amid the scandal of a senior White House official indicted in the CIA leak investigation.

But Mr. Bush denounced those who -- accused of making what he called baseless charges.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: When I made the decision to remove Saddam Hussein from power, Congress approved it with strong bipartisan support.

I also recognize that some of our fellow citizens and elected officials didn't support the liberation of Iraq. And that is their right, and I respect it.

As president and commander in chief, I accept the responsibilities and the criticisms and the consequences that come with such a solemn decision.

While it's perfectly legitimate to criticize my decision or the conduct of the war, it is deeply irresponsible to rewrite the history of how that war began.

(END VIDEO CLIP)

PHILLIPS: Democrats responding quickly to Mr. Bush's remarks, though. Senator Edward Kennedy called the speech deeply regrettable.

And Senator Minority Leader Harry Reid dismissed the speech as discredited rhetoric about the war on terror. And House Minority Leader Nancy Pelosi accused the president of playing politics in a way that's a disservice to U.S. troops.

Marines on the move against insurgents in Iraq -- they have moved into the town of Karabila, where they are fighting what amounts to be an unseen enemy. Five have been wounded by hidden explosive devices.

CNN's Arwa Damon, embedded with the Marines, say the western part of that town is literally a mine field. The insurgents who were there have vanished, leaving improvised explosive devices buried everywhere.

Insurgents take aim once more at Iraqis trying to keep the peace. Three police officers are killed when gunmen in two vehicles open fire. It happened at a checkpoint in central Baquba. Another police patrol was targeted in Baghdad. Three officers there and a civilian were wounded in that attack.

Patient, thorough, and vicious -- a Web site posting alleged to be from al Qaeda in Iraq shares chilling details of the bombings in Amman, Jordan. It boasts that the targets were chosen with precision that pleases God.

Those three hotels were, reportedly, cased for a month, ahead of Wednesday's attacks. And one of the suicide bombers brought along his wife, who chose to -- quote -- "accompany her husband on his road to martyrdom."

Masses of Jordanian citizens gather for a second time in the streets of Amman to honor the victims and denounce Abu Musab al- Zarqawi, a fellow Jordanian, who, as you know, heads the group that is taking responsibility for those deadly bombings.

Now, all of us realize, some day, that a suicide bombing could happen here. And we're all concerned about safety and security.

So, we asked Kelli Arena to take a look and what -- where we are most vulnerable right now and how authorities are protecting soft targets, like shopping malls, commuter trains and hotels.

(BEGIN VIDEOTAPE)

KELLI ARENA, CNN JUSTICE CORRESPONDENT (voice-over): The extra security in New York that followed the suicide bombings in Jordan is almost routine.

MICHAEL BLOOMBERG (R), MAYOR OF NEW YORK: When it's a terrorist event, we always ramp up security and we have done that at the New York City hotels.

ARENA: Counterterrorism experts call the measures effective, but not ideal.

STEVE POMERANTZ, FORMER FBI CHIEF OF COUNTERTERRORISM: Physical security, guards, those kinds of barriers in front of establishments, are really your last line of defense. When all else fails, you hope that guard will spot that suicide bomber before he walks into your establishment, and deal with it then.

ARENA: Steve Pomerantz, a security expert and former FBI counterterrorism official, says the goal is to never get to that point. He says the U.S. has to continue to improve intelligence gathering to spot signs bombers are getting ready to strike. POMERANTZ: There is a process of recruiting, of identifying vulnerable people, of pumping them up psychologically, of preparing them, of building the bomb, of strapping the bomb on, of transporting them to their targets.

ARENA: FBI officials have consistently warned about suicide attacks here in the United States, especially against so-called soft targets, like shopping malls.

Jonathan Lusher is with the mall security company IPC.

JONATHAN LUSHER, SENIOR VICE PRESIDENT, IPC: We train our people to look for things that are out of the model, out of the ordinary. And that's been very effective all over the world.

ARENA: But shoppers are still free to come and go as they please. So are commuters, even after the deadly attacks witnessed in London and intelligence suggesting terrorists want to hit U.S. transportation systems.

POMERANTZ: People have to be willing to go through much more rigorous security procedures, a lot more inconvenience, some would say infringement of civil liberties. You could -- you could put it in those terms. And I think people in this country are, as yet, unwilling to -- to do that.

ARENA: Pomerantz says that's because, so far, the U.S. has not been a victim of suicide bombings, but believes it's inevitable. He takes teams of U.S. law enforcement officers to Israel, where authorities are veterans in dealing with suicide attacks.

Terry Gainer, who heads the force that guards the U.S. Capitol, says his visit was invaluable. Capitol Police are now able to better recognize suspicious behavior and prepare for threats like secondary explosions.

TERRANCE GAINER, U.S. CAPITOL POLICE CHIEF: We came back and took some of the lessons learned from there and had to apply them to the way we were doing our training and running things on the street.

ARENA: Still, Gainer says, there's only so much his officers can do.

GAINER: This is an area where people are still free to ride a bike, carry a backpack and walk up to our doors. So, we simply have to be prepared that there are some terrorist out there that is going to try it.

ARENA: If the experts are right, it's just a matter of time.

(END VIDEOTAPE)

PHILLIPS: Once again, that was our Kelli Arena.

Well, she was born, raised and educated in the U.S. and, since her marriage to the late king in 1978, has been known as Her Majesty Queen Noor of Jordan.

Last night, she spoke with CNN's Anderson Cooper about the tragedy in Amman, which, even for a queen, hit very close to home.

(BEGIN VIDEOTAPE, "ANDERSON COOPER 360")

QUEEN NOOR, JORDAN: A very good friend of mine is in intensive care. His daughter was killed in the attacks and relatives of another family, a son of a woman I know, and then other friends.

Jordan, even as its population has increased so much over the years, is still essentially one large family. And, probably, everyone in the country will have -- will either know or be connected with or have knowledge of someone who lost someone...

ANDERSON COOPER, CNN ANCHOR: Did you...

QUEEN NOOR: ... yesterday.

COOPER: Did you -- did you think such an event could happen in Jordan?

QUEEN NOOR: I -- such events are terrorizing so many different parts of the world today.

Jordan, we live in a very volatile neighborhood. We represent a spirit of moderation, of inclusion, of -- a very strong defense of Arab sovereignty and -- freedom and open openness to the -- to the larger world.

And so, it -- doesn't -- sadly, it's not a surprise out of the blue. But, as my daughter said the other day, why did it happen to us? It's not supposed to happen to us, because we have been an oasis of stability for so long.

COOPER: Do you think it is that, freedom, that secularness, that embrace of modernity that, in part, has made Jordan a target? I mean, is that what these people, in some way, are striking against?

QUEEN NOOR: I think there -- there are probably a range of factors. I personally think that they have made a significant tactical error here.

COOPER: Because?

QUEEN NOOR: Because they have attacked innocent civilians, primarily Muslims. In that, it's a sin against Islam, what they have done.

And I think that those who comprise many of -- of the either disaffected or those searching for the best way for their grievances and frustrations and anger to be resolved or -- or represented will look at this in horror.

And I think they -- that they will lose support as a result of what they have done, because it's targeting an Arab country, Arab civilians. There's no clear military target, if that were an objective, or if they could consider that a justification, as in so many of these suicide bombings, which are, again, a sin against Islam. This was a -- a gratuitous killing of innocent civilians in the most bloodthirsty, abominable fashion.

COOPER: I have got a statement that you made -- and, Charlie (ph), I want to put up the -- the second statement that Her Majesty made back in October of 2004.

And I just want to read you -- read what you said and -- and talk about it. You said: "Extremist political movements are using the guise of religion to advance their political aims, rather than aims consistent with the teachings of Islam. It has been -- it has very hard, I think, for many in the Muslim world and the Muslim community and others to feel that they can speak up and speak out against these distortions. They feel very vulnerable and afraid that they might pay a heavy price for that."

How can that be changed? I mean, good people must stand up and speak out.

QUEEN NOOR: And there are so many more good people than there are these diabolical extremists. And there are so many in the middle who are just looking for that kind of leadership.

COOPER: Why don't you think that more stand up, though, and condemn -- and condemn suicide bombings across the board, whether it's anywhere?

QUEEN NOOR: Well, I -- in Jordan today, you -- you showed some footage in the setup of -- of Jordanians protesting in the street. There will be a great many more as well who, first, are still living in shock, and then that will turn to anger.

And I think this could be the beginning of mobilizing more voices to come out front. What these people need is a safety net. They need it from political leaders. They need it from religious leaders as well. There needs to be a groundswell that can begin to offer protection for every voice inside and begin to offer a very compelling alternative to the extremist rhetoric.

And -- and that has to address not only the basic human rights and -- and -- but it also has to address the ability of people to know some hope and opportunity in their lives and to have a voice in the decisions that affect them. These -- this is the source -- these are the sources of frustration and anger in so many parts of -- of our region.

COOPER: Your Majesty...

QUEEN NOOR: And, as those are addressed, we will see the extremists losing ground.

(END VIDEOTAPE)

PHILLIPS: Well, at least 12 people have been arrested in attacks that an al Qaeda Web site said were a month in the making. And now Jordan's King Abdullah II is vowing to bring the perpetrators to justice.

CNN's Jon Mann with more on where the investigation stands right now.

Do you know any more about those 12 arrests, Jon?

JONATHAN MANN, CNN CORRESPONDENT: Kyra, this was the worst attack in Jordan's modern history. But, so far, the indications we have is that the government is moving carefully and, in a sense, modestly.

We are told by the government only, officially, of 12 arrests. And no identities have been supplied for the people who they have. At least two of the bombers have been identified -- our information is that they were Iraqi nationals -- but no word about the people who have been taken alive, 12 people, we're told. Really, details are still sketchy -- Kyra.

PHILLIPS: Well, meanwhile, the protests that continue right behind you, Jon -- absolutely amazing pictures -- all through the day, all through the night, calling for the head of Abu Musab al-Zarqawi and other terrorists that they believe are behind these attacks.

What do you think? I mean, could this lead into something bigger?

MANN: Well, it really is.

No one has seen an outpouring like this. Ever since King Abdullah took power, there has never been a show of support for his rule. Clearly, Jordan is uniting behind its king, uniting against extremism. This is a country where people we consider extremists have been, in fact, quite popular. Al Qaeda and the insurgents in Iraq are seen as heroes by a majority of people here. Even leading Jordanians will tell you that.

And now, on this day, we're seeing an outpouring of anger against Abu Musab al-Zarqawi. People of naming him by name and saying that he should burn in hell. If this is a real indication of public opinion shifting, it is an enormous shift in Jordan, where, once again, until recently, these people were seen as heroes.

Now Jordan feels like it's been victimized and has a very different sense of who to blame.

PHILLIPS: Jon Mann live there in Amman, Jordan, following the protests that continue after those explosions -- Jon Mann, thank you so much.

And we have images today also of a major street battle that resulted in the death of a top international terrorist. The video first aired on Indonesian television. And it shows anti-terrorism police closing in on Azahari bin Husin. He's the Islamic militant that authorities say built the bombs used in the Bali nightclub attacks three years ago. Bin Husin was reportedly shot dead as he tried to detonate an explosive on his body.

Still ahead, who is calling the shots within the al Qaeda terror organization? And is there a power struggle going on?

Some insight straight ahead. We will be right back.

(COMMERCIAL BREAK)

PHILLIPS: Well, details still fuzzy on the reported death of one-time Saddam Hussein deputy. If it's not true, it won't be the first time that Izzat Ibrahim al-Douri's fate was -- well, let's say exaggerated.

His name, and others, in the news can easily overwhelm up us, the al-Douris, the Zawahris, the al-Zarqawis, but it's important to know who is who.

CNN's Eric Margolis can clarify things for us. He's in Washington today. Of course, we talked to him yesterday.

Because you're an expert and you write about so many different things, Eric, we have got to keep bringing you back...

(LAUGHTER)

PHILLIPS: ... as things develop.

ERIC MARGOLIS, AUTHOR, "WAR AT THE TOP OF THE WORLD: THE STRUGGLE FOR AFGHANISTAN, KASHMIR AND TIBET": Glad to be back.

PHILLIPS: All right, let's start with al-Douri.

You know, we have been reporting this developing news all day, that, possibly, he's dead. You have met with him. You have talked with him. Give us a little background here, and if you think he's playing a big part in -- in the insurgency that we're seeing.

MARGOLIS: Izzat Ibrahim al-Douri was one of Saddam Hussein's most important pillars of his regime and one of his most trusted lieutenants, one of the smarter and better balanced men in his regime.

He relied upon him greatly. And al-Douri -- when the Saddam regime was overthrown by the U.S., al-Douri went into hiding. And he's the most senior of the Baath Party leaders under Saddam who has not -- who escaped. And what makes it particularly important was that al-Douri has reportedly been organizing the financing of a number of Iraqi resistance or insurgent movements and giving them direction and guidance.

And this is particularly so of the former Iraqi army and commando units who took to guerrilla warfare, planned by Saddam before the invasion. And it is these groups that are inflicting the worst punishment on American forces. So, if Izzat Ibrahim has been killed or died, it will be an important benefit for the United States.

PHILLIPS: What was it like to -- to meet him and to talk to him? What did you talk about? What -- what did you -- as you looked him in the eyes, what did you think of him?

MARGOLIS: I thought of him as -- as very strong.

Inside, he had a -- he was a very strange-looking man. He looked gaunt, almost skeletal. And he -- his eyes kept shifting around constantly. But he had -- he spoke with an inner strength. And we were discussing inter-Arab affairs. This was in the run-up to the first Gulf War. And he was explaining to me how the other Arabs had betrayed Iraq. And he was fulminating at me against the Kuwaitis, who they really hated, and pretty against the Saudis.

PHILLIPS: Interesting. So, he is -- he is talking about rivalry among other Muslims, right?

MARGOLIS: That's correct.

PHILLIPS: So -- OK. So, let's bring in, say, a Zawahiri, a Zarqawi. Zarqawi, of course, we have been talking a lot about, because everyone having the feeling that he's behind these attacks in Jordan.

Are any of these individuals working together, or are they all running their own cell of insurgencies?

MARGOLIS: I think the latter is the case.

These are -- you know, mostly, what we are -- we call al Qaeda groups that have popped up in Indonesia, in North Africa, in Egypt, are really independent local groups who are -- who are like-minded. They are not under the operational organizational control of the original al Qaeda, which is deep underground now and probably in Pakistan.

But these groups use the al Qaeda name. And al Qaeda has become the movement. It's no longer an organization. And Abu Musab in Iraq and Jordan, al-Zarqawi, is a perfect example. He was a relatively unknown person. He was -- like a one-man anarchist terrorist show who decided to make himself famous.

And one of the ways he did this was by adopting the name of al Qaeda in Mesopotamia, even though he never got a franchise agreement from al Qaeda in Afghanistan to do this.

PHILLIPS: So, does he want to be the next OBL?

MARGOLIS: Well, he has never said this.

And one hears reports he wants to set up a sultanate over the Mideast, etcetera. But a lot of this is disinformation from the Iraqi government. I think what -- as far as I understand, what he really wants to do is kill as many American troops in Iraq as possible and punish Arab regimes who are seen as being in cahoots with the U.S. or for -- and Jordan being a -- a prime example.

He's an anarchist. He's a bloodthirsty anarchist.. I don't think he has grand political visions. PHILLIPS: Now, what about al-Zawahiri? Could he be working with al-Zarqawi? Or is this another individual operating sort of on his own?

MARGOLIS: No, I think is a -- Ayman al-Zawahiri, who is a -- a doctor, is -- was Osama bin Laden's number two. He was the chief operating officer of al Qaeda, a very ruthless and dangerous man, an Egyptian. He planned many attacks against civilians.

If anybody is running al Qaeda, it's al-Zawahiri. And there's a huge price on his head. However -- comma -- he...

(LAUGHTER)

MARGOLIS: ... did not appoint Zarqawi and was -- as I understand it, was rather surprised when Zarqawi popped up and started taking their brand name away and saying, we're al Qaeda.

There is a letter allegedly sent by Zawahiri to Abu Musab, saying, you know, stop these bloodthirsty attacks. They are -- they're damaging the name of the whole movement.

I don't know if the letter is authentic, but the tone of it, the content, is absolutely right. The -- Zarqawi's attacks have blackened his name. They have blackened the name of the anti-U.S. Iraqi resistance, or insurgent, forces giving them the appreciation that all of them are terrorists. And -- and Zarqawi is as much hated by the mainline Iraqi resistance groups -- there are about 20 of them who are fighting the U.S. -- as he is in Jordan and as he is by the United States.

PHILLIPS: So, Osama bin Laden out of the picture completely?

MARGOLIS: He is totally out of the picture for now. I believe he is hiding, either in a large Pakistani city, probably Karachi, not in the mountains of Afghanistan. But who knows.

I just talked to one of the chief generals who's hunting him last night. And they are no closer than I am. Or he may be in Baluchistan in western Pakistan. He is there -- I -- he is still alive, from what I understand from my Pakistani sources, but he's keeping a very low level. And he -- and he's planning something.

PHILLIPS: So, when you say one of the chief generals -- I know you can't give away your sources -- one of the chief generals going after Osama bin Laden, are you talking about a military general?

MARGOLIS: U.S....

PHILLIPS: U.S. military general?

MARGOLIS: U.S. special forces are regularly hunting him. I mean, that's why we have 20,000 troops in Afghanistan.

PHILLIPS: Interesting. So, this general is -- is commanding a specialized special forces unit that is constantly tracking OBL? And, if that's the case, how are they doing it?

MARGOLIS: Absolutely.

They are doing it through electronic intercepts. They have all of Afghanistan. And the border region with Pakistan is under 100 percent electronic blanket surveillance, satellite surveillance, drones, bribing local tribesmen, electronic sensors on the ground. I mean, this is a full-court press. And they have got mercenary forces who are out there hunting.

I mean, they are doing their maximum. They have been running through the mountains for years. But, so far as we know, the trail is cold. And it's very likely that Osama, if he is there, is being protected by powerful sources inside of Pakistan, who still regard him, as do many people in the Muslim world, as a hero.

PHILLIPS: Eric, you think maybe you can share your sources with me?

MARGOLIS: Next time.

(LAUGHTER)

PHILLIPS: OK, next time when I ask you for an update and have you live on LIVE FROM.

Eric, thank you so much. It's always...

MARGOLIS: You're...

PHILLIPS: ... great to have you.

MARGOLIS: You're most welcome.

PHILLIPS: All right.

Well, news from Wall Street straight ahead -- and also word of one controversial basketball star trying to make a comeback in the advertising world.

LIVE FROM is on the story next.

(COMMERCIAL BREAK)

PHILLIPS: No, this is not the cast of a new show for the Cartoon Network.

Bei Bei, Jing Jing, Huan Huan, Ying Ying and Ni Ni -- I think I probably butchered every single one of those names, but they are the official mascots of the 2008 Olympic Games in China. So, we will get them perfect next time. Hey, even Jackie Chan is excited about these cutie-pies. The figures represent a fish, a panda, Tibetan antelope, a swallow and the Olympic flame. They also represent millions of dollars in Olympic marketing.

The LIVE FROM team is already putting in their T-shirt orders. And a new type of lingerie guarantees to heat things up, literally, and help prevent global warming at the same time. Yes.

Are you getting excited, Matt (ph)? My whole crew here in B control getting a little hot under the collar. A Japanese company unveiled the Warm Biz Bra. It's part of an effort to save energy in Japan this winter. The little fuzzy bras are lined and they come with removable pads that can be microwaved. Oh, and there are shorts that match.

Did you like those two, Matt (ph)?

UNIDENTIFIED MALE: Yes.

(CROSSTALK)

PHILLIPS: That's good.

All right, well, Nike is relaunching an ad campaign with a bit of a controversial basketball star.

Kathleen Hays has the story live from the New York Stock Exchange.

Kathleen, I don't think you and I need those microwave bras, but, you know, that's a whole 'nother story.

KATHLEEN HAYS, CNN CORRESPONDENT: I'm thinking about, you don't want to microwave them too much, probably.

(LAUGHTER)

HAYS: That's -- there's probably some trick to this whole thing, Kyra. We're going to have to talk this over at another time.

(LAUGHTER)

PHILLIPS: OK.

HAYS: OK?

PHILLIPS: Very good.

HAYS: But let me tell you about this basketball we are talking -- star we're talking about. It's Kobe Bryant.

Two years ago, he lost a number of endorsement deals because of sexual assault allegations. Now that the criminal case has been dismissed, Nike is slowly relaunching the star's career as a product pitch man.

"The Wall Street Journal" says the central part of the effort is a new basketball shoe tentatively named the Zoom Kobe I. Bryant signed a four-year, $45 million deal with Nike in June 2003, just weeks before the allegations surfaced.

Kyra, no word yet if there's any sort of microwaveable insoles in there.

(LAUGHTER)

PHILLIPS: That -- that would -- that would get them running, wouldn't it?

HAYS: Yes.

PHILLIPS: All right, well, speaking of back of -- up and running, some good news out of New Orleans.

HAYS: Yes, indeed.

Folgers is back brewing at full capacity in New Orleans. The Procter & Gamble plant is the largest coffee-making facility in the country and produces more than half of all Folgers coffee. The plant, which President Bush visited back in September, has slowly resumed operations since Hurricane Katrina. P&G has set up a trailer village to provide employee housing at the site. The company, which has had to ship coffee in retro metal cans, is now telling retailers supplies will be back to normal by early December.

Now, for a quick look at Wall Street, where stocks are higher, the Dow industrials holding on to about a 45-point gain -- the Nasdaq composite tacking on a quarter-of-a-percent.

That is the latest from Wall Street. I will be back with the final numbers and the closing bell, live from the New York Stock Exchange, at the end of the hour.

More LIVE FROM after this.

(COMMERCIAL BREAK)

PHILLIPS: Well, today is Veteran's Day, an opportunity to honor the men and women, who have served in the military.

And this morning Vice President Dick Cheney placed a wreath at the tomb of the unknowns at Arlington National Cemetery.

He told the people there that veterans understand the meaning of sacrifice, and in a reference to the war on terror, that there are difficult missions still to come.

And at the Vietnam Veterans Memorial, a wreath laying ceremony to honor the veterans of that war.

There are millions of Americans who have served in uniform. And according to the Department of Veteran's Affairs, as of September there are more than 24 million living former service members.

And based on census information 18 million of those veterans served in wars. Many of them, 8 million, were in the Vietnam War. '

And 433,000 veterans served in Iraq and Afghanistan as part of the war on terror. Two more numbers in U.S. history: 43 million Americans have served in a combat, 652,000 of them died in battle.

Veteran's Day in New Orleans. The battle now trying to save some of the city's rich military history.

CNN's Daniel Sieberg visits the Jackson Barracks Military Museum.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: Where's the rest of it?

UNIDENTIFIED MALE: It's a group of men who serve as pilots, crew chiefs, gunners, mechanic.

DANIEL SIEBERG, CNN CORRESPONDENT (voice over): Like clockwork every week a tight knit group of veterans get together at the Jackson Barracks Military Museum in New Orleans's lower Ninth Ward.

UNIDENTIFIED MALE: This is a Brat Whitley (ph) R28,000.

SIEBERG: They have been restoring engines and aircraft here for more than a decade.

CHARLES MONSTED, 122ND BOMB SQ. RESTORATION UNIT: You see everybody is retired, and their wives may be anxious to let them get out of the house once a week. So, every Wednesday we come down here and fix equipment.

UNIDENTIFIED MALE: Nasty looking goo coming out of this thing.

SIEBERG: Brackish water now drains from their labors of love. Aging war birds they worked to restore, like this Cobra helicopter, were wrecked again when the levees broke.

PHIL VON DULLEN, 122ND BOMB SQ. RESTORATION UNIT: We got this about a year and a half ago. And we cleaned it all up. Replaced a lot of rusty screws and stuff.

Wednesday before the storm we started painting that tail back there, and worked our way up to this point here.

UNIDENTIFIED MALE: Everything here is just starting from scratch again, you know. We went three steps forward, one step backwards and start over again.

SIEBERG: Museum curator Stan Amerski, is happy to have help from the veterans.

STAN AMERSKI, MILITARY MUSEUM CURATOR: There's only three people here. That's the director and me and a desk sergeant. And that's it. It's a 10 acre site. It's got seven buildings, including the library.

SIEBERG: Nearly 9,000 military artifacts dating from colonial times to today are strewn about the museum. Many are laid out on drying pads like wounded troops, the mannequin of a buffalo soldier, mud soaked eppilets, a priceless pre-Civil War knapsack. (on-camera): From teacups to field radios the items in this room date throughout Louisiana's history in battle. And when the levees broke the water rose up over my hand. Everything in here was submerged and floating in water along with all the identifying tags on each item.

So, now for people like Stan the trick is to reidentify everything.

AMERSKI: It's very tedious, but very worthwhile once you get through with the process.

When I look at all of it, I look at it as history with a little more history tacked on to it. Still going to be the same item just a little more history. It went through Katrina.

SIEBERG (voice over): The same could be said for the men of the 122nd.

HARMON FISCHER, 122ND BOMB SQ. RESTORATION UNIT: It's a setback, but we're hard headed. We'll make it right one way or the other.

Everything won't be exactly like it was. But we'll have a museum again. And we'll have a restoration shop again.

UNIDENTIFIED MALE: Try the other end of this thing.

SIEBERG: Come rain or shine or even Katrina, if it's Wednesday, they will be here.

Daniel Sieberg, CNN, New Orleans.

(END VIDEOTAPE)

PHILLIPS: Well Veteran's Day began as Armistice Day, a day to honor Americans, who fought in World War I. And veterans of that war are becoming a vanishing breed.

The Veteran's Affairs Department lists just eight World War I vets receiving disability or pension benefits. The VA doesn't know for sure, but estimates that only 30 to 50 World War I vets are still alive.

In all an estimated 2 million Americans served in Europe after the U.S. entered World War I in 1917. It was called the Great War, the war to end all wars.

Well, will mold and mildew allow criminals to go free in New Orleans?

UNIDENTIFIED FEMALE: If we can't restore those records, then all of my evidence is nothing, but stuff in bags. I need to be able to trace it back to the case.

PHILLIPS: Trying to salvage justice in the aftermath of Hurricane Katrina. We're going to talk live with a woman, who is determined to do just that.

(COMMERCIAL BREAK)

PHILLIPS: Well, it's like descending into Dante's sixth level of hell. That's how the head of the National Archives described his visit to the basement of the Orleans Parish Courthouse yesterday. And the analogy fits.

Court staff in New Orleans have to wear masks and protective gear to go to work now, and their immediate task in the aftermath of Hurricane Katrina: trying to literally salvage justice. The moldy documents, bags of water-logged evidence and racks of rusty guns are critical to criminal cases. Staff from the National Archives are helping the court staff piece together the evidence right now.

And the woman who's heading up the effort is Kimberly Williamson Butler, clerk of criminal courts for Orleans Parish. Kimberly, great to see you.

KIMBERLY WILLIAMSON BUTLER, COURT CLERK, ORLEANS PARISH: Kyra, thanks for having me.

PHILLIPS: Well, I guess we should sort of set the stage for a moment and just tell our viewers exactly what was in that basement.

BUTLER: Well, everything. Everything from baseball bats to cocaine and anything that was retrieved from a home, purses. You know, there's everything from drugs to weapons to articles that were used in criminal -- or confiscated in criminal cases.

PHILLIPS: So have you been able to see what is salvageable and what is not, with regard to records and evidence? Were you able to save everything?

BUTLER: Well, I can tell you that we didn't lose anything in terms of physically losing evidence. You know, one of the things that I mentioned that I was concerned about was that nothing floated away. That we know. So we have every article of evidence. The question now is what condition are they in? And something that's actually more critical is whether or not we can retain those property intake records. The intake records actually identify what's in those bags.

PHILLIPS: So, let's say, for example, you're able to salvage a gun, but the gun got wet.

BUTLER: Yes.

PHILLIPS: Are you still able to use that gun in a case as evidence against an alleged murder?

BUTLER: Well, again, I'm neither judge nor jury. But when I spoke with the chief judge he told me that it doesn't matter if the gun is rusty, if you can't use it -- as long as I can produce that weapon, then it can be admissible in court. So I'm encouraged by that.

But I'm even more encouraged by the -- Dr. Weinstein (ph), who's head of the -- who's the U.S. archivist who came and took time out of his busy schedule to come and meet with us yesterday. He said that he believed we were going to be able to retain and restore every record. And that means that I'll be able to identify the actual bags. And the evidence tags for the most part were in place with the cases that they're allotted to.

PHILLIPS: So...

BUTLER: Now, you know, I think I've -- yes.

PHILLIPS: No, that's OK, go ahead.

BUTLER: Well, one of the things I mentioned that I was concerned about is the drug evidence. You know, water and cocaine, that's just not a good combination. You know a lot of that -- we had big bags, big fat bags that are deflated now. And my only guess is that the water got to them and that just washed away with the flood.

PHILLIPS: Let me ask you this. So you've got your alleged drug dealer, you've got the alleged murderer. You've got the criminals, right?

BUTLER: Right.

PHILLIPS: you've got certain criminals in jail.

BUTLER: Right.

PHILLIPS: What do you do if you can't -- what if that cocaine got destroyed? I mean, what do you do? How do you go back and deal with the case?

BUTLER: Well, you know, again, that rests on the judge and the jury. I know that the district attorney has expressed some concern with respect to that. But evidence isn't the only factor in trying a case. There can be witnesses and, in some cases, ballistic tests or fingerprints that were lifted off guns and things along those lines.

So it's -- all is not lost, even if there was a circumstance where a bag of cocaine, for example, melted away, literally melted away. But it certainly does make it more difficult for the district attorney to prosecute those cases. So we wanted to do...

PHILLIPS: All those individuals, Kimberly, that are linked. I mean, we're looking at this in unbelievable video of just all the moldy case files in the property intake office.

BUTLER: Right.

PHILLIPS: Are all these individuals that are attached to these cases, are they still in New Orleans jails? Because you and I were talking a little bit about some mutual friends at the NOPD. And some of them said, well... BUTLER: Right.

PHILLIPS: ... so many of those criminals have left New Orleans, so it doesn't matter if we have records and evidence or not.

BUTLER: Well, and that's going to be on a case-by-case basis. I believe that many of them are not -- are no longer in New Orleans, may not return to New Orleans. But if they do, and as those cases come up, we want to make sure, I want to make sure, that I can produce that evidence. That's critical.

It's critical even -- it's even critical for cases that have already been tried, people that are interested in appeals or people that are interested in getting their records expunged so they can have a new lease on life. So that evidence is more than just historical records of events. They really represent people's lives. And we're going to do everything we can to restore every article of evidence.

PHILLIPS: Well, it's pretty incredible, National Archives pitching in to help you out. Kimberly Williamson Butler, clerk of criminal court for Orleans Parish. Quite a job ahead of you, Kimberly. Keep us posted, all right?

BUTLER: Thank you. I will.

PHILLIPS: All right.

Well the art of talking New Orleans -- we'll all be speaking yat by the end of this hour. We'll explain, coming up next.

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PHILLIPS: New Orleans, N'Orleans, New Orleans. There are so many ways to pronounce the name of the hurricane-ravaged city. Even the locals say it different. It's just another example of the uniqueness and the diversity of that city. But there's a new phrase becoming a part of the local lingo.

Actress Becky Allen -- she's a local and she's definitely been there performing for a number of years. She's a New Orleans native and she also knows how to do that yat talk. She's famous for it. How you doing, Becky?

BECKY ALLEN, NEW ORLEANS ACTRESS: Hi, how you doing? Where yat, babe?

PHILLIPS: Where yat? And definition of where yat is your basic -- you know, your basic hello to everybody. That's what everybody says, right?

ALLEN: That's right. We love to end sentences with prepositions.

PHILLIPS: That is so true. But there's a couple new ones now that are out there, right?

ALLEN: Yes, they certainly are.

PHILLIPS: Tell me what they are.

ALLEN: Well, it used to be did you get water in your section. But now they just stopped -- they've cut it down to got water.

PHILLIPS: Got water.

ALLEN: And then -- got water. And then they go, how is your mom and them? Oh, how did they fare in the storm? So you have to tell the whole story of the whole family.

PHILLIPS: Yes, not just about you anymore. It's about the whole gang.

ALLEN: Well, it never is in New Orleans. It's very, very family oriented. You know, we have the least ageism, I think. And that's good. You know, but, you know, everybody has got their mama and their aunt and their uncle and that funny uncle that lives upstairs. They bring them down to the parties, you know.

PHILLIPS: That's true, because ...

ALLEN: It's a good city for that.

PHILLIPS: When I talk to my friends in New Orleans I always ask them how they are doing, but then they always say and then my cousin and then my uncle and then my mama and grandmama. Like, they have to give me the whole rundown.

ALLEN: The whole family, right.

PHILLIPS: And I've heard a lot of how's ya' house?

ALLEN: How's ya' house, darling? Oh ...

PHILLIPS: The popular ...

ALLEN: ... and then they want to talk about it. Oh, absolutely. Absolutely. I mean there are so many things that people are saying now, like welcome home, even if you didn't leave. You know, but what they say to each other. Welcome home. The other night I was in a bar, and every time somebody came in, it was like oh, my God, I didn't think you were alive. You know, they make a big deal out of everybody that comes in the door. It's great.

PHILLIPS: It's very dramatic, isn't it?

ALLEN: Yes, we're very colorful people. We love eccentrics.

PHILLIPS: Yes, you are a prime example.

ALLEN: We all have -- Mardi Gras mentality reigns. You know, we have Mardi Gras once a year, and I think that's the catharsis that let's us all do what we want.

PHILLIPS: That's right. You know what though ...

ALLEN: As long as you don't rape or murder. What, baby?

PHILLIPS: Well, you always do what you want. No matter if it is Mardi Gras or not. And there's another phrase right there. What's that, baby? I got a lot of babies when I lived in New Orleans.

ALLEN: Oh, yes. I know. A friend of mine, he said,, baby to somebody in New York and they said men don't call each other men -- don't call each other baby. And then when he came here he got in the cab and the cabdriver turned around and said, where you going, baby?

PHILLIPS: Everybody is a baby.

ALLEN: See. Everybody is a baby or darling.

PHILLIPS: Darling, true. That's right. You got to say it right, darling. Now also I think something that people don't know, makin' groceries. You don't go shopping for groceries, you go makin' groceries, right?

ALLEN: Yes, I think that came from like the French, you know, they use that as -- they mix up the verbs and stuff. And making they use more than we do, but making groceries means to go and buy them in the store. And that means, you know, did you make your groceries? You know, that's how they talk. I don't know, I think it's partly due to the French but then we just kept it up. Plus we have our little colloquialisms that we love and keep them, you know.

PHILLIPS: Give me a few.

ALLEN: And I like that. Well, I mean, you know, like see you later, alligator. See you in the streets, hey.

PHILLIPS: Now, Becky, your new show ...

ALLEN: What is worth doing is worth overdoing. We live up to that, yes.

PHILLIPS: Everybody overdoes on everything in New Orleans. Right?

ALLEN: Of course. Yes, because of Mardi Gras mentality. Because you know that just a little bit over the edge but then you can't stop yourself. You know, because I mean, men wear beads and you walk around the French Quarter and they have got tourists wearing "Cat in the Hat" things. You know, they would never do that in their own hometown. But they do it in New Orleans. And we love it. Come on down. See the devastation.

PHILLIPS: Hey, I miss New Orleans. Let me tell you. And I know you're in a new show "Queen of Bingo." So we're going to send everybody to Covington so we can hear you call out those bingo numbers.

ALLEN: Well, you know, Covington is the greater New Orleans area. So, you know, and a lot of people from here that had no homes moved over there. So, you know, everything has sort of built up everywhere else. But luckily I'm in the French Quarter, and it's -- if you squint your eyes, you can, you know, pretend it didn't happen but ...

PHILLIPS: Well, Becky Allen.

ALLEN: I'm saying prayers every day. It's going to come back even better, that's the good thing.

PHILLIPS: I know. I know it is.

ALLEN: And I'll be here.

PHILLIPS: I know you're going to be there. You're never going to leave. You know who is another big fan of yours, Becky?

ALLEN: No, who?

PHILLIPS: Wolf Blitzer. Can you say that name, Wolf Blitzer?

ALLEN: Wolf Blitzer. Yes, I can't believe that. I'm a big fan of his.

PHILLIPS: Well, there you go. Do you want to go ahead and toss off to Wolf in "THE SITUATION ROOM"? He's with us right now.

ALLEN: Oh, yes, baby. Take it away, Wolf.

WOLF BLITZER, CNN ANCHOR: Kyra, I can't top this at all. We don't have anything like this in "THE SITUATION ROOM." It's not going to happen, I'm sorry.

PHILLIPS: Becky Allen is the situation, Wolf.

BLITZER: Thanks, Kyra.

ALLEN: Oh, Wolf, you're such an animal.

BLITZER: All right, let me tell you what is coming up in "THE SITUATION ROOM." On a very serious note, the president on the offensive defending the war in Iraq. He's pushing back against Democrats and has a word or two to say about John Kerry. And senator Ted Kennedy firing right back. We'll go one on one in "THE SITUATION ROOM." We'll hear what he has to say about the war and the White House.

Plus, putting the Christ back into Christmas. Wal-Mart responds to a boycott by the Catholic League.

And those hotel bombings. Did a husband and wife team help carry out the killings? We're following the latest on the investigation. All that, lots more coming up here in "THE SITUATION ROOM," Kyra, in only a few minutes.

PHILLIPS: OK, you're not mad at me, right, Wolf? BLITZER: No, no.

PHILLIPS: OK good. Wolf Blitzer coming up in "THE SITUATION ROOM." We're going to take a quick break. We'll be right back.

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PHILLIPS: Well that wraps up this Friday edition of LIVE FROM. The LIVE FROM team already working on the weekend right now, getting ready to pack up their things and go see Becky Allen live in New Orleans.

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