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CNN Live Today

Crisis In The Middle East; The Fight For Iraq; Viewer's E-Mail

Aired July 21, 2006 - 10:00   ET

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

SOLEDAD O'BRIEN, CNN ANCHOR: We continue to cover this story from all angles.
Miles.

MILES O'BRIEN, CNN ANCHOR: All right. Yes, we will be ships in the night. You have a safe journey and we'll see you on TV starting next week.

S. O'BRIEN: Thank you. Likewise.

M. O'BRIEN: And we invite our viewers to stay with us all throughout this crisis. No one better positioned to cover it for you than CNN.

That's all the time we have for this AMERICAN MORNING. Daryn Kagan at CNN Center with CNN LIVE TODAY.

Hello, Daryn.

DARYN KAGAN, CNN ANCHOR: Miles, wishing safe journey for Soledad coming back to the states and for you, my friend, heading over.

M. O'BRIEN: Thank you, Daryn.

KAGAN: Be safe over there.

M. O'BRIEN: I will.

KAGAN: OK. Look forward to seeing your reports from there.

Meanwhile, we have a couple hours of some intense news just ahead. Let's go ahead and get started with taking a look at what we know.

Hezbollah unleashing a new barrage of rockets from Lebanon. Israeli casualties are reported in Haifa. At least four other Israeli cities were also hit.

Meanwhile, new signs that Israeli may expand its ground offensive. Israel is urging people in southern Lebanon to move far away from the Israeli border.

From Beirut to the Israeli border, Damascus, Syria, Larnaca, Cyprus, CNN has reporters all across the region to bring you the very latest on the fighting and evacuations that are taking place. We have live reports straight ahead. We want to go ahead and begin in Haifa. Israel in the northern part of the country. Our Fionnuala Sweeney standing by there.

Fionnuala, I understand just within the last few minutes you could hear more sirens and there have been more attacks.

FIONNUALA SWEENEY, CNN CORRESPONDENT: Yes, within the last three minutes, Soledad, the air sirens sounded all over this city. This is the third time today. So far we've heard two explosions. But, of course, it's too early to say whether or not they were missiles or Katyusha rockets.

As I say, this is the third air raid siren warning and the third barrage of attacks coming from southern Lebanon toward this is port city, which is just 20 kilometers from the border. In the first attack about four hours ago, four Katyusha rockets fell and 19 people were injured, one critically. And then about an hour and a half after that, there were more rockets and they fell in three areas but there were no injuries.

And so we're here just watching and waiting because usually as soon as these air raid sirens stop wailing, it's usually within 30 seconds after that we begin to hear rockets landing in an around and city over a period of maybe four to five minutes. So far we have heard two rockets land in the last couple of minutes but we haven't been able to locate their position at the moment.

I should just say that Haifa, which is pretty bustling this morning with people getting ready for the Jewish weekend, the Sabbath, is now as quiet as anything. You can hear a pin drop. And if you do happen to hear a car on the street, it is probably the only car on the street at the moment.

So we're watching and waiting here after a relative lull of a couple of days in this nine day confrontation when Haifa has been under a series of attacks from southern Lebanon. It could seem now that this has gone back to business as usual. The third barrage of rockets not just falling in Haifa, but throughout the day it would appear that these are coordinated attacks from southern Lebanon falling across all the northern band of Israel.

Soledad.

KAGAN: Actually, it's Daryn. But I do have a couple questions for you.

You make a good point that you are just hours away from the Sabbath and how the town might be trying to prepare. But I would imagine the missile attacks take precedent over anything else.

SWEENEY: Well, you know, Thursday evening is usually the busiest shopping evening in Israel as people get ready for the Sabbath and they have the most of Friday off. And we were in a town called Nahariya yesterday afternoon doing the interview with the relatives of one of the soldiers who was kidnapped last week just at the border with Lebanon and who's kidnapped and the killing of his colleagues sparked this escalation in military activity on both sides of the border. And in Nahariya, it was like walking into a ghost town.

It has been under a barrage of attacks as well. It's further north then here. Just about 20 minutes from here. And really it was like being on a film set without anybody else being there. Just the only thing you could see was maybe the odd stray dog or cat on the street. And it was quite a surreal experience.

And people indoors -- ordered to stay indoors. As you know, every building in this country has at least one re-enforced room. People not taking chances to go out because when these air raid sirens go off, one has about 30 seconds to get indoors because it takes only about two minutes for these Katyusha rockets to go the 20 kilometers toward Haifa. And within that time, it's very hard to detect how many are coming and where they are coming.

But the air raid sirens are still going off. Not at this very moment, but, as I say, about five minutes ago. People here really on alert and they're just taking cover in their houses. And, as I say, there's nothing happening on the streets.

KAGAN: All right, Fionnuala Sweeney live from northern Israel in Haifa. We will check back with you. Thank you.

A farmer's close encounter with a Katyusha rocket. Our Paula Newton is also in northern Israel. She is even farther north along the Lebanese border. She updates the situation. This is a report that Paula filed just a few minutes ago.

(BEGIN VIDEOTAPE)

PAULA NEWTON, CNN CORRESPONDENT: This is Paula Newton here and I'm in the northern Israeli-Lebanese border. And we are watching what is a forward movement of ground troops. We believe that they've called up as many as 5,000 reservists.

What's been happening here is that whatever they've done from the air has just not been enough. There seemed to be Hezbollah militants still willing to come out and engage the Israelis in fierce fighting. And, more than that, there seemed to be still missiles, rockets and launchers deeply embedded in tunnels and caves across the border in southern Lebanon.

We're going to talk to Shalom (ph) now who works -- who run as farm here and he found this Katyusha. And it landed very close to you.

SHALOM, (through translator): Yes, 30 meters from him it fell.

NEWTON: The Israeli population in general are showing more than 90 percent of support for the Israeli operation thus far. It's going to be a tough road, though, if ground force do go in. Five thousand reservists already called up and a ground war is a totally different version of war for the Israelis here.

(END VIDEOTAPE) KAGAN: Let's go to the story about the evacuations and more U.S. ships that will help Americans evacuate from Lebanon today. Our Barbara Starr was making the journey with a group of evacuees. She on board the USS Nashville.

(BEGIN VIDEOTAPE)

BARBARA STARR, CNN CORRESPONDENT, (voice over): It was an extraordinary journey that brought hundreds of Americans to this Navy warship sailing off the coast of Lebanon. At first light, CNN joined a group of Marines headed for Beirut. The Marines went ashore from a landing craft to get stranded American citizens who had been told by the embassy to gather.

Suddenly, the Americans emerged. By the hundreds. A man still recovering from surgery. Young and old. Families with children on vacation in Beirut caught in a war that nobody had expected. It was the second time in a year that this young mother had sought refuge.

UNIDENTIFIED FEMALE: And I'm from New Orleans. Last year I lost everything during Hurricane Katrina. Second time I evacuate, from Lebanon this time.

STARR: The small boys are like small boys everywhere, trying not to show how scared they might have been by the bombing in Beirut.

UNIDENTIFIED MALE: It was scary because I thought they were going to bomb like our building. So I was a little scared.

STARR: When the landing craft finally got to the Nashville, the Americans were met by delighted troops.

UNIDENTIFIED FEMALE: Thank you, USA.

UNIDENTIFIED MALE: Hi, mom.

UNIDENTIFIED FEMALE: Thank you, USA.

(END VIDEOTAPE)

KAGAN: Our Barbara Starr is now in Cyprus, along with many of those evacuees, live from Larnaca.

Barbara, so now that all those people have arrive there, what awaits them in Cyprus?

STARR: Well here in Cyprus it's really bursting at the seams, Daryn. The hotels are full. They're trying to get these people on to charter aircraft back to the United States just as quickly as possible. But it's going to be a real challenge over the next several days.

Right now there are now four U.S. Navy amphibious warships in the eastern Mediterranean and they are conducting the same operations around the clock, sending their landing craft in to Beirut, trying to get people. They expect to be pulling out more than a thousand people today. We had more an a thousand people on the Nashville last night when we rode from Beirut back into here.

But perhaps the most heartwarming thing, Daryn, is how much the military, the troops on board, are really engaging with the people. As we sailed out of the Lebanese coastline last night, the sailors and the Marines on board started stripping their own bunks of their sheets and blankets. Everything they had to hand out to these people. It was going to be a long ride back to Cyprus overnight aboard ship and they were really trying to make the people feel like on board a Navy ship they were back in the United States of America. Expect to see these operations continue for the next several days.

Daryn.

KAGAN: Barbara Starr live from Larnaca, Cyprus. Barbara, thank you.

A lot of people wondering where diplomacy plays in this crisis, also the United States. The Associated Press is reporting that Secretary of State Condoleezza Rice, who was in New York City to meet with U.N. officials today, that it says -- the AP says that she'll be laying out the U.S. plans for a diplomatic solution to this conflict later today. With more on that and what's happening at the U.N., let's go to our senior United Nations correspondent Richard Roth.

Richard, hello.

RICHARD ROTH, CNN CORRESPONDENT: Hello. I think we reported she was also here. I think we reported that yesterday.

KAGAN: No, I'm not saying -- the AP's not reporting that she's here, but now saying that she's going to lay out a diplomatic solution.

ROTH: OK. Let's see. She's not coming to the U.N. She is meeting right now this morning with member of Kofi Annan's delegation that went to the Middle East, that came back reporting serious obstacles remain. Rice meeting with that team at a nearby hotel near the United Nations.

The secretary of state telling Vijay Nambiar, the secretary- general's senior political adviser, and his delegation, we're all very concerned about the situation in the Middle East and want to find a way forward that will contribute to a stable and democratic and peaceful Middle East. She thanked the team for going on such short notice. That she's looking forward to hearing their report.

It's unclear if Rice is going to the Middle East next week. Yesterday the leading member of that team, Vijay Nambiar, outlined for journalists some of the frustrations that he told the Security Council.

(BEGIN VIDEO CLIP)

VIJAY NAMBIAR, U.N. TEAM LEADER: I think the U.N. or this team is not in a position really -- it is only in a position to suggest certain measures. Some set of concrete ideas. Now these ideas we have been discussing with the delegations, with the leaders. We have had the opportunity to meet. These are in the process of being clarified, being sort of concretized. And I couldn't say that we would be able to offer a neat package straight away which both sides can implement tomorrow.

(END VIDEO CLIP)

ROTH: The team is going to brief the Security Council officially in a meeting that was set to begin now, Daryn, and now it's going to begin at 11:00 a.m. They may have a lot more to talk about with Rice before they come back here to talk to the ambassadors.

Daryn.

KAGAN: All right, Richard, we'll make sure to check back with you many times today. Thank you.

And this programming note. U.N. Secretary-General Kofi Annan's only television interview is right here on CNN's "Larry King Live." Don't miss that tonight at 9:00 Eastern, 6:00 Pacific. You can e-mail your questions to cnn.com/larryking. CNN, the most trusted name in news.

We'll be going live to Beirut. New video of the damage that's taken place there. And we'll also update you from around the region.

Plus, there's a lot of other news happening around the world. We'll get to that, plus your weather in just a moment.

U.S. Marines come to the aid of Americans trapped in Lebanon.

(BEGIN VIDEO CLIP)

ANDERSON COOPER, CNN CORRESPONDENT: There may be some 25,000 Americans currently living in Lebanon. But the problem for the Marine Corps and for the U.S. Embassy officials trying to plan the evacuation is that they simply don't know how many Americans actually want to get out.

(END VIDEO CLIP)

KAGAN: Our Anderson Cooper gives us a firsthand look at the flight to safety. His report ahead on CNN, the most trusted name in news.

(COMMERCIAL BREAK)

KAGAN: Want to show you these new pictures and new sounds. The sirens from Haifa in the northern part of Israel. This just happening within the last couple of minutes. Our Fionnuala Sweeney right there on the ground and can tell us more about what we're hearing and what we're seeing.

Fionnuala. Fionnuala, can you hear us? Fionnuala. OK, we'll try . . .

FIONNUALA SWEENEY, CNN CORRESPONDENT: Yes, how do I start that off again?

KAGAN: Fionnuala, can you hear us?

SWEENEY: Thanks very much indeed, Daryn. Apologies for the late start. We were in the middle of what has been the fourth air raid siren warning wailing over the city of Haifa here. We just had two rocket attacks, two barrages, I should say, of rocket attacks over this city within the last 20 minutes.

This is the fourth rocket attack barrage that Haifa has endured this day. The first was about four hours ago. The usual passion of air raid sirens going off, shortly thereafter followed by, in that case, four Katyusha rockets falling on the city. Nineteen people injured, one critically.

And then about an hour and a half after that, we had this second barrage of attacks. No injuries when three Katyusha rockets landed. And then it was a period of relative quiet until about 20 minutes ago when there were two barrages of rocket attacks. Three landing within the last few minutes in and around this city. And just before that, just before the top of the hour, four -- at least four Katyusha rockets heard to land in and around Haifa.

Daryn.

KAGAN: That's our Fionnuala Sweeney on the ground there in Haifa.

Now if you take a look at the map, this will give you some -- can we put the map back up? OK, so you can see where Fionnuala is where those rockets are landing right now. And then we head north of the border, almost equidistant. Well, a little bit farther north into Lebanon, to Beirut, to that capital. That's where we find our Alessio Vinci bringing us the latest from there.

Alessio.

ALESSIO VINCI: Hello to you, Daryn.

Well here in the capital Beirut, a fairly quiet day. We have not heard explosions since early this morning, but the Israeli military is continuing to attack areas in both the eastern part of the country, as well as in the south. We understand in the eastern part of the country earlier today an attack has killed three civilians. And then in the south, of course, there, again, across border fighting between the two sides with the Israeli military dropping leaflets, asking on resident there in the southern part of the country to move north, perhaps they are indicating that Israel may be trying to clear up the entire southern part of Lebanon.

Earlier today my colleague, Nic Robertson, had an opportunity to sit down with the country's president, Emile Lahud. He asked him, what he would do should Israel invade this country. If Israel send in ground troops. And the president answered, he was ready to fight back.

(BEGIN VIDEO CLIP)

PRESIDENT EMILE LAHOUD, LEBANON: First the army is going to defend its land and inside Lebanon they can do a lot. They cannot be strong enough to be against Israel on the frontier because they have much more stronger material and weaponry. But inside Lebanon, they know the land and, of course, they will fight the invading force of Israel if it tries to come inside.

(END VIDEO CLIP)

VINCI: The Lebanese army not very strong. About 60,000 soldiers. It's ironic, perhaps, that the president is calling on the army to intervene in the south. It is there that it has absolutely no control whatsoever, the Lebanese government. Hezbollah has total military power over there.

Over the years has been demands for Hezbollah to be disarmed and for the Lebanese army to step in. That has not happened. Now we're hearing that for the first time the Lebanese army could be deploy there should Israel send in ground troops in that part of the country.

And then finally, as the fighting continues in the south and in the eastern part of the country, people continue to leave from this country by the thousands. So much, in fact, that the U.S. government has begun evacuating people not just to Cyprus but also to Turkey.

Daryn, back to you.

KAGAN: You know, Alessio, I want to ask you a question because we've focused so much here in the U.S. about the -- I hear numbers of 8,000 Americans that want to leave and other nationalities. But I also hear there are about 500,000 Lebanese who have tried to leave the country. Where have they gone?

VINCI: Well, those who cannot go to a third country, as in the west, they're trying to primarily going to Syria. That's the only open border crossing that they can go to. And that is why there colleagues of mine have been stationed there have been seeing Lebanese nationals by the thousands, if not by the tens of thousands, trying to cross into Syria there.

We've also seen a lot of people internally displaced within their own country. People from the south, of course, trying to move north. And we're seeing reports of people even trying to hide in basements, in homes that they don't own and trying to flee the southern part of the country that has perhaps seen the worst fighting so far.

KAGAN: Alessio Vinci live in Beirut, Lebanon, thank you for that.

Yes, that graphic did just say Iraq. The world and the American media focusing so much on Lebanon and Israel and Gaza over the last 10 days that the Pentagon just wrapping up a briefing from Iraq, updating security operation there. Our Jamie McIntyre joins us from the Pentagon with the latest on that.

Jamie.

JAMIE MCINTYRE, CNN CORRESPONDENT: Well, Daryn, it's been quite a violent week in Iraq. And here's the problem. You know, the U.S. strategy for getting U.S. troops out of Iraq is for the Iraqi security forces to stand up and take over the mission. And they've been doing that. There are greater numbers of Iraqi forces on the street, but it has not been that with a reduction in violence.

In fact, the number of attacks is up dramatically this week in Iraq. The top U.S. military spokesman in Iraq yesterday gave a briefing in which he said essentially that attacks were up by about 40 percent just in the last week. Now he said if you look to the numbers a little bit -- a bigger picture, it's a little more consistent. But they have seen a spike.

Today we got a briefing from the colonel who's in charge of the striker brigade up in the north near Mosul. And he said he's seen an increase of attacks in his area as well.

(BEGIN VIDEO CLIP)

COL. MICHAEL SHIELDS, U.S. ARMY: We have seen a period, though, of increased activity where it could spike from let's say seven attacks today, per day, to possibly 15 to 19. But sometimes that's tied to a critical event. Somebody comes in town that's a high level facilitator and the local leadership is trying to gain favor or a local cells in trying to receive financing.

(END VIDEO CLIP)

MCINTYRE: Colonel Michael Shields is up there near Mosul and typically in the north it's been a little bit better than in the Baghdad area.

But yesterday Major General Bill Caldwell, the top military spokesman, essentially conceded that the real fight is for Baghdad. He said that he thought insurgents were waging an all out battle there and that's why violence was up. He said Baghdad is a "must win" for the coalition. And basically the feeling is, as goes Baghdad, so goes the rest of Iraq. So we're really in a critical point now in Iraq and we're seeing really an uptick in violence there.

KAGAN: And to focus on a point you were making early in your report there, we have been so focused, the media's been so focused, on Lebanon and Israel. But really in this 10-day period, more people have been killed in Iraq than have been killed in the areas that we've been covering.

MCINTYRE: Yes, absolutely. And, again, it's -- the discouraging part of it is the trends don't look good. You would expect that as more Iraqi troops are better equipped -- and they are better equipped now -- and are on the street and are doing more. And, of course, in yesterday's briefing they were pointing out example after example where Iraqi forces were performing well in stopping insurgents, in stopping kidnappings, but they also pointed out that in one case it was a kidnapping that involved some member of Iraqi security forces. Indicating again the problem they're having with these so-called death squads, the Sunni and Shia militias that are fighting among themselves. It's a real problem there, Daryn.

KAGAN: Jamie McIntyre live from the Pentagon. Thank you for the latest on Iraq.

We head back to northern Israel. Just within the last few minutes, sirens firing once again. And as they're warning of more missiles and more rockets landing in this northern port city of Israel. We'll go back live to Haifa in just a few minutes. You're watching CNN, the most trusted name in news.

(COMMERCIAL BREAK)

KAGAN: You're hearing more than you're seeing here, but it's telling the story from northern Israel in Haifa. Sirens that were sounding just a few minutes ago indicating more rockets from southern Lebanon on the way. Haifa under attack yet again today. This as Hezbollah militants keep up their Katyusha rocket strikes on Israeli targets. At least 10 people in Haifa have been injured. That's just today alone.

We're going to stay on the story. Never getting far away from it, even as we go to other news. We'll keep going back and forth to Israel and Lebanon and bring you the latest as it develops.

Meanwhile, let's check the markets. They've been open an hour in New York City. You can see -- oh, just not -- we had that one great day on Wall Street this week and now it looks like it's tech stocks that are pressuring the market today. You can see the Dow is down 57 points. The Nasdaq in negative territory, as well. It is down 22.

So once again a reminder, we will go back to the Middle East as developments warrant and bring you the latest from there. But it is Friday and that means it's time for viewer e-mail. Here to answer your questions, our personal finance editor, Gerri Willis, joining us from New York City.

Hi, Ger.

GERRI WILLIS, CNN CORRESPONDENT: Hey there, Daryn. Good to see you.

Yes, the mailbox is full and we've pulled out a few questions.

KAGAN: Yes, we have and I happen to have a copy right here.

WILLIS: Awesome. Perfect.

KAGAN: Let's go to the first one. It's about grandpa. Mike is concerned about grandpa. That's nice. He "co-signed $60,000 in student loans for a relative." But "my relative is in default. The collection agency is now calling my grandpa. Can they put a lien on his house or threaten garnishment? He is retired living on social security." WILLIS: Well, good news, bad news here, Daryn. If you co-sign a loan and the primary signer can't pay, you are responsible for the debt.

KAGAN: Ouch.

WILLIS: Yes, exactly. But rest assured, a collection agency cannot garnish Social Security payments. They could get a lien on grandpa's property with a court order. But according to the experts we talked to, that's probably not too likely. So, Mike, let's say, you know, get that paid off and put grandpa's mind at ease, right?

KAGAN: Yes, put the pressure on that relative. The deadbeat relative.

Next question. They don't want to sign their name but they do have a good question. "I work but my husband doesn't." OK. "We file a joint return. Can I still open a Roth IRA for him? Right now I have my company sponsored 401(k) and Simple IRA (both maxxed out) but he has nothing."

WILLIS: Like how generous is she, right? I think she's (INAUDIBLE).

KAGAN: Whoever's wife this is, she's a catch.

WILLIS: Yes, you bet. The answer to the question, though, is emphatically, yes. Since you file your taxes jointly, he can even open a Roth IRA for himself. Now as long as you make less than $160,000, that's adjusted gross income a year, either of you can put in the maximum amount, either you or your husband, that's $4,000 a year or $5,000 a year if he's over 50 years of age.

KAGAN: And also if he buys her flowers every Friday.

WILLIS: Every single day for the rest of her life, right?

KAGAN: Really. That should be a requirement.

Lisa in Florida writes in. She wants to know, "is there a way to opt out of the millions of credit card offers that seem to come every day in the mail? My shredder is working overtime getting rid of all the junk mail we get every day."

My dog got one this week.

WILLIS: No.

KAGAN: Yes. It came to Darla . . .

WILLIS: Are you making that up?

KAGAN: No. I'll have to bring it to you. Darla Kagan. She got a credit card offer.

WILLIS: That's crazy. KAGAN: I know. Anyhow, for Darla and Lisa.

WILLIS: Darla could get there -- you know, your dog can get his personal identity stolen, that's so funny.

KAGAN: That's true.

WILLIS: The credit bureaus offer as toll free number that enables you to opt out of having pre-approved credit offers sent to you for two years. The number, write it down, it's important, 1-888- 5-optout.

And, Daryn, I should add, you can also tell the three major credit bureaus that you don't want your personal information shared for marketing purposes. For those addresses log on to our website at cnnmoney.com/fivetips.

KAGAN: Good suggestion. One more question. This is a debate with a husband and wife. Here is the issue. "She was told it is more energy efficient to run the AC all day. But isn't it better to use it only during time of need? Also, is it more cost effective to use fans or AC?" From Peter.

WILLIS: Peter, you are in the right here. It's much more efficient to run the air-conditioning when you need it. And it's definitely not cost-effective to leave your A.C. on all day. Window fans use much less energy compared to air conditioner.

And, of course, we want to hear from the viewers. Send us your questions to fivetips@CNN.com. And, of course, if you missed anything at all on "Five Tips," check out the Web site at CNNmoney.com/fivetips.

And, Daryn?

KAGAN: Yes?

WILLIS: You've got to save me some room down there. I'm going to come down and visit.

KAGAN: I hear you're coming down...

WILLIS: Monday!

KAGAN: I hear you're coming down to the Atlanta house.

WILLIS: That's right. That's right. We want to see you.

KAGAN: I've got a space for you right here.

WILLIS: Awesome.

KAGAN: Looking to seeing you -- looking forward to seeing you in person. You have a safe trip.

WILLIS: Thank you so much. KAGAN: Have a great weekend. Thank you, Gerri.

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