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CIA Leak Conspiracy?; Tariffs on Brazilian Orange Juice?; Anti- War Protest; William Weld in New York; Roberts' Nomination

Aired August 19, 2005 - 16:00   ET

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

WOLF BLITZER, CNN ANCHOR: We're going to continue to monitor the reaction from Merck, the giant pharmaceutical company. I want Ali Velshi to weigh in. Ali, before we do that, the market is closing right now. What's the word?
ALI VELSHI, CNN ANCHOR: The markets closing, and if you look at these numbers right now, they may be closing down. The NASDAQ is now negative. The Dow is five points above being negative and it will settle, my guess is, in the red. And this on the Dow is being influenced by Merck right now.

And I will tell you how surprising this is to some people. This stock one hour ago when we talked had traded about its average volume of seven million shares. Last I checked, more than 25 million shares of Merck have traded because some analysts have started to say that Merck's liability as a result of this somewhat unexpected ruling could go as high as $18 billion. Merck was a $2.5 billion-a-year drug when this happened -- that was one tenth -- Vioxx was a $2.5 billion dollar drug, one tenth of Merck's annual sales.

Merck is responding by saying they will appeal, as you just heard. They were saying that they tried -- 10,000 people were in the trial of this drug. They believe it was safe. They always believed it was safe. They've issued this statement, which I would like to just show you very briefly. "Merck acted responsibly, from researching Vioxx prior to approval in clinical trials involving almost 10,000 patients to monitoring the medicine while it was on the market, to voluntarily withdrawing the medicine when it did."

Merck expects -- and a lot of people, I should say, Wolf, expect -- that punitive damages of this size -- $229 million -- will probably be pared back on appeal. Whether Merck can overturn it or not is going be critical because there are some 4,000 cases in line behind this one just with Merck.

BLITZER: All right. Very quickly, Ali, from Vioxx to O.J. What's the latest with orange juice?

VELSHI: Well, the United States Commerce Department has issued a ruling now to say that they would like to put a tariff on orange juice coming from Brazil. They want to charge 60 percent on orange juice coming in from Brazil because they're making the argument that Brazil is dumping, which is, as you know, a legal term for -- they're dumping oranges and orange juice in the United States, at a price lower than it would actually cost to make it, in order to maintain their market share of orange juice. So, for people like me who drink a lot of it, you might see your prices for orange juice going a little higher.

BLITZER: All right. I love orange juice, too -- freshly squeezed. Thanks very much, Ali. We'll be getting back to you.

It's just after 4:00 p.m. here in Washington. You're in THE SITUATION ROOM, where news and information from around the world arrive at one place simultaneously. Happening right now, several stories we're following.

Anti-war protestors carrying on without their leader. It's just after 3:00 p.m. in Crawford, Texas, and Cindy Sheehan supporters still trying to hold President Bush's feet to the fire.

A former governor wants a second chance this hour in New York. Can Republican William Weld do something that hasn't been done in more than 100 years?

And does John Roberts have a problem with women? We'll take a second look at the Supreme Court nominee's stand on equal rights and whether it could cost him some support.

I'm Wolf Blitzer, and you're in THE SITUATION ROOM.

Up first this hour, the vigil goes on. Anti-war activists camped out in Crawford, Texas, added prayer to their protest today as they marched closer toward the president's ranch to deliver handwritten letters to the president. They tried not to lose momentum the day after their leader, Cindy Sheehan, suddenly left town because her mother had a stroke.

Our White House correspondent Dana Bash is in Crawford. She's covering the story for us and she's joining us live. Dana?

DANA BASH, CNN WHITE HOUSE CORRESPONDENT: Well, Wolf, it's no secret that Crawford is a conservative place. And for local residents, most of them back the president, back the Iraq mission. But for one of Mr. Bush's neighbors, the anti-war vigil in his backyard hits especially close to home.

(BEGIN VIDEOTAPE)

BASH (voice-over): Sergeant Dusty Harrison is proud of his year in Iraq, calls the mission crucial. Home six months, now from his yard in Crawford, he sees tents and Porta Pottys set up by Cindy Sheehan's anti-war supporters.

SGT. DUSTY HARRISON, IRAQ WAR VETERAN: It's a double-edged sword. I don't like what's going on out here, but it's why I served, so they can have that right. And I do feel for her. I am so sorry that her son was lost.

BASH: His wife Melissa complained to the county commission after two protestors used her bathroom when no adults were home. But she sympathizes with the grieving mother and agreed to let Sheehan use her yard for what she thought was an interview. It turned out to be a TV ad. MELISSA HARRISON, DUSTY HARRISON'S WIFE: I was pretty upset that I was misled like that, because I didn't want anybody to think we were supporting her point of view. We do not share that point of view. I was just letting her have her freedom of speech.

BASH: A Sheehan spokeswoman says they did not intend to be deceptive. The Harrison's are happy the vigil is moving down the road. These are staying -- hundreds of white crosses bearing names of soldiers killed in Iraq.

D. HARRISON: A couple of guys in our battalion died while we were over there.

BASH (on-camera): The fact that they're there, they're sort of right next to your property, how does that make you feel?

D. HARRISON: As a soldier, I think she's using heroes who gave their life for this country to further a political aim.

(END VIDEOTAPE)

BASH: Now, the Harrison's say they never met Cindy Sheehan but they say if they did, they'd tell her that they think what she's doing is wrong and that they believe her son died for something that in the end will be a good thing for the United States and, they say, for the world.

Wolf?

BLITZER: Thanks very much, Dana. Dana Bash in Crawford, Texas.

Moving on now to a Republican who's trying to make it into the record books. The former Massachusetts governor, William Weld, announced today he does plan to run for his old job, but in another state. That would be New York State. If he wins, it would be a first this century.

CNN's Mary Snow joining us with details from New York. Mary?

MARY SNOW, CNN CORRESPONDENT: Wolf, William Weld met for an hour today with the chairman of the New York State Republican Party. After that meeting, he told reporters he thinks the GOP nomination and the fall election are winnable. But not everyone is so sure.

(BEGIN VIDEOTAPE)

BASH (voice-over): When New York Governor George Pataki decided not to run for reelection next year, state Republicans knew they had a problem. Who could they put up against the Democrat's telegenic candidate, crime fighter Eliot Spitzer? Former Mayor Rudy Giuliani is considered to have his eyes on the White House. That's where one of Giuliani's old pals, William Weld, comes in.

Weld was a popular and colorful two-term Republican governor of mostly Democratic Massachusetts in the 1990s. He's a native New Yorker who moved back to the state in 2000. Some GOP leaders apparently like his winning track record, setting aside his unsuccessful bid to oust Senator John Kerry in 1996.

But many voters in New York State might ask, William who? Weld has kept a pretty low profile here in New York.

Once a rising star among GOP moderates, he backs abortion rights and gay rights like many of New York State's top Republicans, but the Empire State does not lean as far left as Massachusetts. And some New York GOP bigwigs suggest Weld may be too liberal for their taste.

(END VIDEOTAPE)

BASH (on-camera: Now, a Weld victory in New York would make him the second American to serve as governor of two states. Sam Houston held the top job in Tennessee and then in Texas in the mid-1800s.

Wolf?

BLITZER: All right, Mary Snow. Very interesting political story. Thanks very much. We'll watch that in New York State.

Now your second chance of the day to sound off on stories we're covering here in THE SITUATION ROOM.

Jack Cafferty, once again, working this "Cafferty File." I guess that's what we call it, Jack. And you've got a question for this hour.

JACK CAFFERTY, CNN ANCHOR: Indeed we do. And that's what we call it. If Iraq is in the rearview mirror in the '06 election, the Republicans will do fine. But if it's still in the windshield, there are problems. Words of warning from a conservative activist quoted in the "New York Times" this week.

Bad news out of Iraq combined with a disapproval of President Bush's policies back home could spell trouble for the Republicans in next year's midterm elections.

Some Republicans are worried about events like the Cindy Sheehan protest there in Crawford, the missed deadline for the Iraqi constitution. They also point to that election in Ohio a couple of weeks ago where a Democratic Marine veteran narrowly lost to a Republican candidate in a district that should have been an easy win for the GOP. Even yesterday, here in THE SITUATION ROOM, we heard Senator Chuck Hagel blast Vice President Dick Cheney for saying the Iraqi insurgency was -- quote -- "in its last throes."

Here's the question. Will Republicans turn against President Bush on the war as the '06 elections get closer? CaffertyFile -- one word -- @CNN.com.

Wolf?

BLITZER: Thanks, Jack. I'm looking forward to what our viewers have to say on this as well. Jack Cafferty with the "Cafferty File."

Coming up, a new take on that CIA leak controversy. Bush strategist Karl Rove has been getting heat for being a secret source. But should the news media also get some blame? Allegations of a cover- up involving major news organizations. That's coming up.

On Iraq, the president getting new flack, as Jack just noted, from both Republicans and, of course, Democrats. What does it mean for the troops and their commander-in-chief?

And the latest ups and downs for Governor Arnold Schwarzenegger. How politically vulnerable is he?

You're in THE SITUATION ROOM.

(COMMERCIAL BREAK)

BLITZER: Welcome back. Both Republicans and Democrats are anxiously awaiting the outcome of a grand jury probe into the leak of a CIA operative's name. The big question right now, will the president's chief political strategist, Karl Rove, and other top White House officials be accused of any crime?

The September issue of "Vanity Fair" hones in on the revelation that Rove was a secret source in the outing of the operative, Valerie Plame Wilson. The article, by Michael Wolff, takes aim at CNN's sister company "Time" magazine, the "New York Times," and other news organizations, accusing them of being part of a cover-up with the White House.

I interviewed Wolff, along with my colleague Jeff Greenfield, and asked him why he wanted news organizations to reveal their confidential sources.

(BEGIN VIDEO CLIP)

MICHAEL WOLFF, CONTRIBUTING EDITOR, "VANITY FAIR": What I wanted them to do is write the story they had. You know, I started to think about this, and started to think about this not as a journalist, but as a reader. And from a reader's point of view, I thought, damn, these news organizations had a story of potentially devastating consequences -- a story that, in fact, might have meant that George Bush would not have been reelected. And they didn't write it. They sat on it. They swallowed it.

And the more I thought about it, I thought, well they did it out of their own self-interests. And it was not about my interests, the interests of the reader.

BLITZER: Well, here's what I don't understand. What would you specifically have specially wanted Matthew Cooper, let's say, of "Time" magazine, or Judith Miller of the "New York Times," or the other reporters who may have been getting information from the White House, from Karl Rove perhaps or others, what did you want them to do? To reveal the identity of their confidential source?

WOLFF: Yes. The story was very clear. As soon as this happened and as soon as Karl Rove said "I had nothing to do with this," and as soon as the president said "Anyone in my administration who has had something to do with this will be fired," that immediately became the story. In other words, news organizations were sitting on information that would have -- that -- two things. Evidence that there was a crime committed, or a potential crime, a potential felony, at the highest levels of the White House. And also a story that would have, if it had broken, would have meant that the president's chief advisor would have had to quit or would have been fired.

BLITZER: Jeff Greenfield, what do you make of this?

JEFF GREENFIELD, CNN SENIOR ANALYST: I think Michael's view of this may be overwrought. But I think here's what he's on to that's a bigger issue. And that is the use or misuse of a kind of dance between the press and officials.

I understand why people need confidential sources, and I understand why sometimes that's the only way you get wrongdoing exposed. But I think, even if I don't agree with Michael on the full dimensions of what he's saying -- it might have changed the election, maybe. But the willingness of the press to play this game -- and it's gone on, Wolf, for years in this town. The willingness to kind of say, OK, you're my confidential source and therefore, no matter what I learn about you is protected, I think this raises some very serious issues.

BLITZER: You write in the article, Michael, in "Vanity Fair," you could -- this, "You could even plausibly say these news organizations" -- and you're referring to the "New York Times," "Time" magazine -- "became part of the conspiracy. They entered into an understanding that as quid pro quo for certain information, they would refuse to provide evidence about a crime possibly of having been committed by the president's closest confidante."

Those are very powerful words. So far, we don't know if any crime has been committed.

WOLFF: Well, I said a possible crime. And clearly it is a possible crime. We have had a two-year investigation about this. And what that fact pattern -- I mean, I would say it again. I would go to the mat on that. That's exactly what happened.

BLITZER: Why would the "New York Times" or "Time" magazine have some sort of -- enter into some sort of conspiracy with Karl Rove and the White House?

WOLFF: Well, because he's their source. I mean, it was a tradeoff. You'll give me information, and I will protect you. And that either acknowledges that a crime may have been committed, or it doesn't care that a crime has been committed. It just is about the transaction. You give me information, I protect you.

BLITZER: What if it turns out -- and we don't know obviously, there's so many unanswered questions here -- that Karl Rove got the information about Joe Wilson's wife, Valerie Plame Wilson, not from any government source, but from a journalist?

WOLFF: Well, I don't know. You know, I'm not the investigator. I'm not a lawyer. I don't know whether that means he goes to jail potentially or not. I do know that that still fits the -- it still goes against his initial denial. And it still is right up the middle of what the president said -- if someone in my administration is involved, he's out.

This is -- so let's go back to -- I mean, really look at this from the reader's point of view. Think of a journalist's responsibility being foremost not to his source, but to his readers. And if the journalist and the news organization has a huge story and is sitting on it, buried, swallowed, from a reader's point of view, you've got to say, you know, I've been treated with the back of somebody's hand.

BLITZER: So even at this moment, you want Judith Miller, who's sitting in a Virginia prison in a jail right now, you want her to come clean and reveal her source? Is that right?

WOLFF: Absolutely. I want her to tell the story.

BLITZER: What do you think?

GREENFIELD: I think it goes too far. I think there are all kinds of legitimate reasons why you need to protect sources.

WOLFF: Jeff, no, you're abstracting this.

GREENFIELD: No, I'm not. I want to get...

WOLFF: In this particular case, there are reasons to protect the sources -- to protect a source when the source itself is the government is a problem.

GREENFIELD: Let me make my point. You cannot -- this system doesn't work if you say, what happens is I'm going to tell you something in confidence -- and by the way, the way this information flowed is still a mystery -- and says, oh, in that case, I'm going to tell people who you are.

This is a balancing test, Michael. And the test is, what do you give up if you burn a source and then any other source you may be talking about who may be revealing all kinds of information to the press will not talk to you again.

WOLFF: Jeff, what you've just done is made an argument for somebody's career. Sure, Matt Cooper's career may have suffered.

GREENFIELD: No, Michael, excuse me, it's not the career. Let's go back to your point. It's the reader's interest in getting a free flow of information. It's not a reporter whose career suffers. That's really quite silly. It's the public that doesn't get the benefit of a reporter having lots of sources and lots of different agencies who will tell you things about environmental regulations, about tax policy.

WOLFF: First thing, even on this test, nobody has ever seen any evidence that people are going to stop talking to the press. Quite the opposite. They keep talking. And it may be a much healthier situation if they talked, knowing that they had to assume responsibility for it.

But again, this is back to this situation where the source is the person who is the closest out of anyone in the administration to the president. And we have reason to believe that he may well have committed a crime.

(END VIDEO CLIP)

BLITZER: Michael Wolff of "Vanity Fair" and Jeff Greenfield, speaking about an important subject, that CIA leak, Valerie Plame Wilson. We're going to continue to follow this story every step of the way.

When we come back, a massive document dump. But will the 38,000 pages of records released this week about John Roberts affect the battle over his Supreme Court nomination? We'll get expert opinion in our "Strategy Session".

It's been a rough road this summer for Arnold Schwarzenegger. But can California's governor turn things around?

Plus, who's responsible for that rocket attack today on U.S. Navy ships docked in Aqaba, Jordan? Stay with us. You're in THE SITUATION ROOM.

(COMMERCIAL BREAK)

BLITZER: Let's check out some of the hot shots coming in from our friends over at the Associated Press, still photographs likely to be in your hometown newspapers tomorrow.

Look at this. In Wisconsin, a family looks on as their home -- at their home. It's been devastated by last night's tornado.

In Greenland, scientists are calling on nations to take action to stop global warming and shrinking glaciers.

In L.A., Courtney Love is consoled by her lawyer during a parole violation hearing.

And in Illinois, a 14-year-old gets ready to ride his horse at a rodeo.

Zain Verjee, joining us once again from the CNN Center in Atlanta with a quick look at other stories making news. Hi, Zain.

ZAIN VERJEE, CNN ANCHOR: Hi, Wolf. Jurors in Texas say Merck's responsible for the death of a man who took its now-recalled painkiller Vioxx. And they've awarded his widow $229 million in damages. It's the first of 4,200 lawsuits Merck is facing over Vioxx. The company says it will appeal.

The widow of Martin Luther King, Jr. is undergoing rehabilitation therapy in an Atlanta hospital after suffering a stroke on Tuesday. Doctors say Coretta Scott King's speech has been impaired and she's unable to walk, but they say they're optimistic she'll have some recovery. King also suffered a mild heart attack.

A group linked to al Qaeda is claiming responsibility for a failed rocket attack on U.S. military ships in the Jordanian port of automatic Aqaba. The Jordanian government says Katyusha rockets were fired. All missed their targets. One of them struck a Jordanian military warehouse, killing one Jordanian soldier and severely injuring another.

Pope Benedict XVI is in his native Germany on his first trip abroad as pontiff. Today in Cologne, he visited a synagogue -- only the second pope besides his predecessor, John Paul II, to do so. In his remarks, he decried the Holocaust and vowed to work to strengthen Jewish-Catholic relationships. The pope's planning to meet with Muslim leaders tomorrow.

Wolf?

BLITZER: Zain, now some 800,000, almost 1 million young people have gathered in Cologne, Germany, to see Pope Benedict XVI. So far, based on the reports we're getting, how are they viewing this Pope compared to his predecessor, John Paul?

VERJEE: The immediate comparisons, Wolf, have been this. First of all, a lot of people saying, you know, Pope John Paul II was so charismatic. I mean, he really connected with young people. He founded World Youth Day. And a lot of analysts are looking at this, saying, you know, what's really going to be a measure of Pope Benedict's success is the extent to which he can connect with young people.

Also they're saying Pope Benedict's a lot more low key, many pointing to the fact that Pope John Paul II would get off the plane and then kneel down and kiss the ground. This pope didn't do that.

A lot of young people though, that a number of people have spoken to, have said, you know what, he's still the pope. We may have grown up under Pope John Paul II, but this is still the Pope. It doesn't matter if he's different. And he still draws a crowd, as you say, Wolf.

BLITZER: A huge crowd, indeed. Thanks very much, Zain, for that.

Is the president of the United States making a mistake by not meeting with Cindy Sheehan? A top Senate Republican says yes right here in THE SITUATION ROOM. Yesterday, you saw it. Chuck Hagel was here. Up next, fallout from Iraq and the war in our "Strategy Session".

Plus, they've traveled the world together this year. Now Senators Clinton and McCain are on the road once again. We'll tell you where they are this week.

And it's a very special day for a former president of the United States, that would be Bill Clinton. We'll tell you why it's so special. Stay with us.

(COMMERCIAL BREAK) BLITZER: Leading Republican breaking ranks, making news right here in THE SITUATION ROOM: Senator Chuck Hagel telling us yesterday he thinks President Bush is wrong not to meet with Cindy Sheehan, the anti-war protester and the mother of a soldier killed in Iraq.

Here to talk about that and more our guests, Democrat strategist Donna Brazile, Republican strategist Rich Galen.

Listen, Rich, to what Chuck Hagel said on this sensitive issue right here yesterday.

(BEGIN VIDEO CLIP)

SEN. CHUCK HAGEL, (R) NEBRASKA: As to should the president see her, I do know that he met with her and other families prior, but I think the wise course of action, the compassionate course of action, the better course of action, would have been to immediately invite her in to the ranch, should have been done when this whole thing started, listen to her.

(END VIDEO CLIP)

BLITZER: Is it too late politically for the president to say you know what? Maybe I should have met with her. I'll invite her in now.

RICH GALEN, REPUBLICAN STRATEGIST: I don't think -- assuming Hagel was right in the first place, which I disagree with. I think that is exactly -- in a perfect world, that might be the right thing to do. But no president since the beginning of presidents has chosen to do that or can do that, because frankly, then when do you say no to the next one? Do you say no to a kid who -- parents of a kid who got killed who's Hispanic or black or Jewish or whatever? I mean, then there's nothing but a parade of bereaved parents.

And the president did meet with Mrs. Sheehan. And that sort of has gotten lost in this.

And let me say something about Chuck Hagel. Nobody in the United States Senate sits around waiting to see what Chuck Hagel thinks before they decide what to do.

BLITZER: What do you mean by that?

GALEN: He's not a leader in the Senate. Chuck Hagel does what he does to get on TV. And he does it very well. He makes news on your program.

BLITZER: But he's a very smart guy. A lot of his colleagues like him a lot, including a lot of the Democrats like him. But among Republicans, he's pretty respected.

GALEN: But nobody waits around to see which way he's going to go before they make their decision. They see Chuck Hagel as the Republican equivalent of Chuck Schumer. If there's a camera, he's going to get on it.

BLITZER: Well, you're smirking or smiling or something, Donna.

DONNA BRAZILE, DEMOCRATIC STRATEGIST: Well, look, the fact is, is that he's in a special class. He's one of 100 Senators. But he's even in another class. He's a senator who served in war. And I think his perspective on the war in Iraq and what's happening is very important to all of us, especially those of us who are concerned about the situation spiraling out of control.

What he said yesterday was absolutely correct. He said until the Iraqi people are ready to govern themselves, until they're ready to support themselves and defend themselves, we cannot set a time line.

So I liked the interview. I thought he gave a strong interview. And the vice president was wrong to say Chuck Hagel was wrong.

BLITZER: Hold on one second...

GALEN: At what point does the president say no to the next one? I mean, I don't disagree with anything you're saying. I'm just saying that as a practical matter. It's like the president -- we were here last week, the president's motorcade going past. You can't, A, stop a motorcade at a protest, because you'd never get anything done. And you can't go a different way, because everybody would...

BRAZILE: But Senator Hagel said it was the compassionate thing to do. And I think it's also compassionate, given the fact that Ms. Sheehan's mother is ill, for the president to pick up the phone and say, look, I haven't been able to meet with you. I'm busy right now. But I hope it your mother recovers.

BLITZER: He also -- Republican Senator Chuck Hagel of Nebraska -- a conservative state and he's a conservative -- did not shy away yesterday from taking on the vice president of the United States, Dick Cheney himself.

Listen to this exchange I had with him.

(BEGIN VIDEO CLIP)

HAGEL: Well, it was the vice president who said a couple months ago that the insurgency was in the -- in its last throes. I didn't say that. The vice president said that.

The fact is -- the facts speak for themselves, Wolf. Maybe the vice president can explain the increase in casualties we're taking and all the other issues that I just addressed. If that's winning, then he's got a different definition of winning than I do.

(END VIDEO CLIP)

GALEN: Well, I have a different definition.

BLITZER: Hold on one second. Let me just pose this question, are Republicans beginning to walk away from the president and the vice president on the issue of Iraq? GALEN: No. I don't think they are. I think people are concerned about it, as they should be. When you look at the casualty figures, you have to be concerned. But this is an insurgency that we've been dealing with for a long time.

Of the three of us, I think I probably have spent more time in Iraq than you two. And I will tell you that it's a very dangerous place to be. And these guys are very smart. And they keep changing their tactics. The tactics for this period of time, unfortunately, has been attacking U.S. soldiers, because they see the response it gets back at home.

This is not an easy thing to do. In terms of victory, you look what's going on in Egypt, even in Saudi Arabia, in Bahrain, in Kuwait, you look at the Lebanese throwing out the Syrians, if you look across the region, this is successful.

BLITZER: But on those issues, U.S. troops not directly involved. U.S. troops are directly involved in Iraq, that's why it resonates a lot more with the American public.

GALEN: But remember, the war -- I mean, the election was fought over this, among other things, was Iraq a war unto itself, or was it one battle in a wider war. And in that case, we're winning.

BRAZILE: There's no question that there are a growing number of Republicans who are wavering now, flip-flopping, whatever you want to call it. They're concerned that this war will erode public support for their initiatives here at home. And many are speaking up.

I mean, we also saw Congressman Duncan. We've heard from Congressman Price of North Carolina. I believe when these members come back from their recess, you will hear them go to the floor and demand that this president begin to talk straight to the American people.

BLITZER: We're going to move on to John Roberts in a second, but Democrats are deeply divided among themselves. Russ Feingold suggesting this week, get a date -- an exit strategy by the end of next year. A lot of Democrats, including Senator Clinton from New York state, saying putting a date is wrong.

BRAZILE: Well, some Democrats believe that putting a date is wrong. But I tell you, the overwhelming number of Democratic activists are now calling upon their leaders to speak up and set a timetable and to stand firm.

BLITZER: Quick question on John Roberts. In one document that has been released, July 31, 1985 when he was working for Ronald Reagan, he said this. "Some might question whether encouraging homemakers to become lawyers contributes to the common good." Some Democrats, as you know, are suggesting he's anti-woman. Is that where you stand?

BRAZILE: Well, there's a troubling pattern now that we're seeing with all of these documents. And I don't believe he's an armchair conservative. I believe he's more of a textbook hard-core conservative. And that will spell trouble for John Roberts during his confirmation battle.

GALEN: Nonsense. It's not going to make any difference at all. And by the way, I'm not so sure he's wrong. In Salon.com and the "New York Times," in 2002, there was a report that in fact, he was right. That women who work out of the home for the first three years of their child's life, their child scores -- in cognitive tests, scores less than a woman who was at home. So, maybe he was right.

BLITZER: Maybe he said that. Maybe. The fact is, his wife is a high-powered attorney here in Washington and they've got two little kids.

BRAZILE: I'm sure she has set the record straight and then some.

BLITZER: All right. Let's move on. If they dragged up all the things we all said in 1985, we'd probably be...

BRAZILE: And the things we wore, of course. Clothes.

BLITZER: Let's leave it there. Donna, Rich, thanks very much.

GALEN: Have a good weekend.

BLITZER: Coming up, making it in New York. William Weld rose to the top of Massachusetts politics, but can he do the same in the Empire State?

And it's been a tough summer for Arnold Schwarzenegger. Will a special election this November improve the California governor's fortunes?

Carlos Watson is standing by. He's here in THE SITUATION ROOM. Get ready.

(COMMERCIAL BREAK)

BLITZER: Welcome back. Political reporters already are looking forward to a possible governor's race in New York State between Republican William Weld and Democrat Eliot Spitzer, dubbing it "Big Red" versus "The Enforcer."

Weld told reporters today he will run for governor, the same job he once held in nearby Massachusetts.

Let's bring in our political analyst Carlos Watson. Carlos, A Quinnipiac poll, albeit late last month, in New York State -- Quinnipiac University poll had Eliot Spitzer at 60 percent, Weld at 16 percent. Everybody else way, way down.

It's sort of very, very early, obviously and Weld does not necessarily have the name recognition, but what do you make of this?

CARLOS WATSON, CNN POLITICAL ANALYST: Well, a couple things. First of all, New York now jumps on my list of some of the most exciting races to watch in 2006. Previously you've had states like Florida and Maryland that were going to have great races. Now you're starting to see a good one shape up here.

A couple big thoughts, though. There is some recent historical precedence for people leaving one state and wanting to run in another. We saw the former senator from Tennessee, Bill Brock, try it in Maryland at one point. We saw Alan Keyes last year, you recall, go from Maryland and try and run in Illinois.

BLITZER: Both losers.

WATSON: Both losers. And by the way, the governor of Tennessee, Phil Bredesen -- a little-known fact -- actually first ran for office in his native Massachusetts for state Senate. So, it's not unusual you see people trying to do different things.

I think big picture, if Bill Weld wins, we can say something about the last six years in which you saw the son of president win office, a first lady win office, an actor become governor of California, an African-American with an unusual name win the Senate -- that this is a time in which political candidates are becoming more entrepreneurial, more unusual backgrounds.

BLITZER: I'm surprised he wants to be governor of New York State, but I guess that's in his blood, politics. William Weld, two-term governor of Massachusetts.

WATSON: And a very active governor. I mean, this wasn't kind of a quiet guy who sat on the side. Whether it was cutting taxes a number of times, whether it was making changes in terms of education even before No Child Left Behind, he was suggesting those kinds of statewide tests -- very activist governor. So, this could be an interesting race. And again, if he wins, New York becomes what, the capital of political carpetbaggers. Now you've got RFK, you've got Hillary Clinton and now Republicans can do it, too. We'll see.

BLITZER: A very moderate Republican along the lines of Giuliani and Pataki on abortion rights, gay rights, affirmative action.

All right. Let's move on to talk about your adopted state of California. You're here in Washington today. But Arnold Schwarzenegger seems to have so many problems right now. What's going on?

WATSON: Well, so Arnold's numbers are down. He's down in the 30s in terms of his approval, which everyone's noted how low President Bush's numbers are nationally. Arnold is doing worse, but maybe he's setting things up for a comeback. A couple of big things have happened, Wolf.

About two months from now, November 5, California has got a big special election -- eight different major issues which could have national impact. Everything from how do you choose a teacher to whether or not you can get prescription drugs in Canada, to whether or not unions are big players, to how we even elect members of Congress, are going to be on the ballot.

Now, Arnold heard two pieces of news this week. One is that he wasn't able to reach a compromise which would have averted a lot of this fight with the Democratic leaders. And number two, the FEC here in Washington said that soft money, essentially more soft money, maybe as much as $50 million more, could flow into this election.

So, what we have here, while we're not talking about it now, by the time we get to the end of the year, this California special election with all these big issues, abortion, electricity, et cetera, could end up being the biggest political story of the year.

If Arnold wins, this was his Gettysburg, right? He does well here and he kind of goes north in terms of 2006. If he loses, maybe this is his Waterloo and he's the next Jesse Ventura.

BLITZER: Carlos Watson, in THE SITUATION ROOM. Thanks very much, Carlos.

WATSON: In THE SITUATION ROOM.

BLITZER: We'll be talking a lot here.

WATSON: Good to see you.

BLITZER: Arnold Schwarzenegger's competition, on our political radar this Friday. With the California governor looking increasingly more vulnerable these days, Democrats are speculating even more about who could take on Schwarzenegger, next year.

The names of actor Warren Beatty, the actor/director Rob Reiner, they have been popping up for some time.

Now there's a third star on the wish list. The "San Francisco Chronicle" reporting Robin Williams has been mentioned as a possible candidate in quiet conversations among Democratic activists. You have to be an actor to run for office in California -- maybe.

A political odd couple together again. Democrat Hillary Clinton, Republican John McCain. We have these pictures in from Alaska -- yes, Alaska -- where the potential rivals in the 2008 presidential race are gathering information about global warming along with fellow Senators Susan Collins and Lindsey Graham. All the way in Alaska.

This year, Senator Clinton's husband will just -- this -- will just have celebrated his birthday without her. That would be because it's today. The former president, Bill Clinton, 59 years old today. The Clinton Presidential Center in Arkansas, holding a special celebration in his honor. And shall we say, "Happy Birthday, Mr. President."

Coming up, Iraq and 2006. Will the war prompt Republicans to turn against President Bush in the next election? We're looking for your input. Jack Cafferty standing by.

And later, a New York murder mystery decades old. Do new clues finally reveal what happened to Judge Crater?

And is it OK to say "G'day mate," in Australia? A war over a word, down under. You're in THE SITUATION ROOM.

(COMMERCIAL BREAK)

BLITZER: Zain Verjee once again joining us from the CNN Center in Atlanta with a quick check of some other stories making news. Sorry about that, Zain.

VERJEE: That's OK. It was actually quite a scare, Wolf, in downtown San Francisco. An underground transformer exploded there this morning, blowing a manhole cover into the sky. On person was burned by the blast and nearby buildings were damaged. Witnesses say they saw the sidewalk rise six or seven inches. Others said if felt like an earthquake.

A virus shut down computers used by U.S. Customs at several airports last night, forcing agents to process passengers by hand. About 2,000 people were affected at airports including Miami, Dallas, Houston, Los Angeles and San Francisco. The Homeland Security Department says security was not compromised. It's not yet known, though, if the problems were linked to this week's worm attack that shut down computers across the country.

A closely watched year-long terror trial is now over in Germany. A judge in Hamburg has sentenced Moroccan Mounir al Motassadeq to seven years in prison for belonging to a terrorist organization, but he was acquitted of charges of accessory to murder in the September 11 terror attack. Prosecutors accused him of providing logistical help to some of the hijackers. Defense attorneys say they'll appeal. And that process will take up to 18 months.

BLITZER: Thanks very much, Zain Verjee from the CNN Center. We'll check back with you.

Jack Cafferty is joining us from New York. Jack, before we get to the e-mail, I wanted to -- this was bothering me. You saw that Jeanne Meserve live shot from Reagan National Airport where they had that electronic gizmo that could do a strip search electronically, look inside to see if you're carrying anything. What do you think of that?

CAFFERTY: What do I think of it?

BLITZER: Yes.

CAFFERTY: I don't know. I guess, you know, if it's necessary as a security measure, then you do what you've got to do. At my age, it doesn't matter. You know what I'm saying?

BLITZER: I know what you're saying.

(LAUGHTER)

BLITZER: All right. Go ahead with the e-mails. Enough said.

CAFFERTY: Yeah. Fine. The question this hour is, will Republicans turn against President Bush on the war issue as the '06 elections get closer?

Here's what some of you are saying.

Elizabeth in Burnsville, Minnesota, "No. In September, Bush will announce that the Iraqi army has been trained, U.S. military forces can begin to come home." As we know from Andrew Card, the White House chief of staff, you never preview a new car in August.

Thomas writes, "Never. Like flies today on yesterday's lunch, the Republicans will follow the honey trail to the bitter end, er, read that money trail. No decent Republican ever abandons a stick up when the till is still full -- full, that is, with your money and mine. Dream on, Cafferty, the ride has just begun."

Jared in Maple Grove, Minnesota, "Jack, of course the Republicans will turn on the president. Regardless of which party happens to be in power, political candidates always seem to put themselves first." You said a mouthful, Jared. Ain't it the truth.

Jim in Tampa, Florida. "Jack, President Bush has until Christmas to get Iraq under control before Republican congressmen begin distancing themselves from him."

And Dick in Camarillo, California, "Why would Republicans turn on President Bush? Republicans believe in and follow principles, not polls. We leave the poll following to the liberals".

Wolf?

BLITZER: All right. Strongly held views. I suspect you got a lot of those. Jack, thanks very much. We'll check back with you in the next few minutes.

It's been quite a week for Cindy Sheehan and fellow anti-war protesters in Texas, especially on the Internet. Up next, we'll take you "Inside the Blogs".

Plus, was al Qaeda behind today's rocket attacks in Jordan? Team coverage coming up.

And you may have heard of Judge Crater. But do you know what really happened to him decades ago? The man and the mystery in THE SITUATION ROOM. Stay with us.

(COMMERCIAL BREAK)

BLITZER: You're in THE SITUATION ROOM. We're plugged into everything that's happening online, at least mostly everything. This week, there's been no shortage of reaction to the anti-war protests down in Crawford, Texas.

Our Internet reporters Jacki Schechner, Abbi Tatton are ready to take us "Inside the Blogs". Jacki?

JACKI SCHECHNER, CNN INTERNET CORRESPONDENT: It would be hard to get everything wouldn't it? Actually, what we wanted to talk about today is Cindy Sheehan has left Crawford to head back to California to check in on her mother who had a stroke. But the protest down in Crawford still continues on without her.

CrawfordUpdate.blogspot.com, this is a blogger down in Crawford with Cindy. The latest update, they're calling it Operation Noble Cause. They're taking photographs now of the military families who have gone down there to join Cindy's cause, talking about families telling their personal stories, how President Bush should hear these stories. Things like a woman who had to tell her nephew's wife that the love of her life had been killed. The emotion that's now pouring out down there.

Photo blogs, also. More pictures of vigils, of protests, people keeping up Cindy's cause even though she's taken off temporarily.

ABBI TATTON, CNN INTERNET CORRESPONDENT: Some conservative bloggers are using their sites to show that not everyone in Crawford agrees with Cindy Sheehan. This is Power Line Blog, a popular conservative blog run by three lawyers. They have their man in Crawford, Jean Allen, a reader who is posting photos from around the protest site like this one, one of many up there today from former serviceman. "God Bless Our President." "Heroes In The Armed Forces Thank You."

But we've seen this week in the blogs that this story has spread way beyond Crawford, Texas. With a little bit of help, MoveOn.org had been pushing earlier this week candlelight vigils all around the country. There were over 1,600 of them. And bloggers, liberal bloggers have been posting the results of those vigils and the photos from them all over their sites.

Scout Prime in Wisconsin reported 300 or 400 people at the vigil there. This one here is in Bethlehem, Pennsylvania, a roadside vigil there. And this is from Seattle, Washington where the message for George Bush was very simple: Talk to her.

Now as we said, this was pushed by MoveOn.org. What they were hoping for was messages in support of Cindy Sheehan. But what you'll see from some of the pictures going back now to Madison, Wisconsin is there are a couple of different views. The sign at the bottom, "America Stands With Cindy," but at the top, the bigger goal of some of these demonstrators, "ImpeachBush.org" says that sign.

SCHECHNER: Now looking ahead, one conservative group MoveAmericaForward.org is heading down to Crawford. They're going to take off on Monday from California and caravan across the country ending up in Crawford -- well, not really across. I guess kind of halfway -- down in Crawford, Texas. That's going to be a week from tomorrow they will land there on the 27th. It's going to be a super rally they call it in Crawford, Texas.

We wanted to take a look, also, at how the conservative blogs have been dealing with how to address Cindy Sheehan's movement, because she is a grieving mother. And it is a very tricky thing. And what we're seeing a lot of is, why is she not open to skepticism and to criticism? Why can't we look into what she's saying? This is James Lilak who is a huge blog, and who has been blogging for about nine years. He also posts on Newhouse News. He's a columnist there. And basically what he asks is, is it OK to criticize her? Why can't we talk about the comments that are coming out in the media?

So, it's a tricky situation, because she is a mother of a fallen soldier, Wolf. But it's something that they're grappling with and essentially saying, now it's kind of fair game.

BLITZER: All right guys, thanks very much. Abbi and Jacki, we'll be checking back with you.

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