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Vow of 'Open War'; Israeli Towns on Lockdown; Middle East Crisis New Priority for G8 Summit; Embattled Citizens Turn to Internet for News; Will Middle East Conflict Spread?; Wildfires Threaten to Merge in California; Evangelical Pastor's Trip to North Korea Canceled
Aired July 14, 2006 - 16:59 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
WOLF BLITZER, CNN ANCHOR: To our viewers, you're in THE SITUATION ROOM, where new pictures and information are arriving all the time.
Standing by, CNN reporters across the United States and around the world to bring you today's top stories.
Happening now, a vow of "open war." Hezbollah vows war against Israel, saying it will take the fight to Haifa and beyond. Israel is not backing down, bombing the home of Hezbollah's leader and trying to seal off Lebanon from the outside world.
Israel wants back two Israeli soldiers held captive in Lebanon. But Hezbollah says no matter how long Israel attacks, it will not give back the soldiers.
I'll speak with the former Israeli prime minister, Benjamin Netanyahu, this hour, and James Zogby, of the Arab American Institute, about these escalating tensions.
And it's 2:00 p.m. in California, where two wildfires burned 61,00 acres. Now they're on a verge of a merge, both of these wildfires.
I'm Wolf Blitzer. You're in THE SITUATION ROOM.
We're following major new developments today in the growing Middle East crisis. Among the latest, fresh Israeli airstrikes in Lebanon, including, again, at Beirut's international airport and at Hezbollah's headquarters in southern Beirut.
Shortly afterward, a defiant televised message from the group's leader pledging "open war" against Israel. And in an exclusive interview with CNN, Lebanon's prime minister says this should be a wakeup call to address the Israeli-Palestinian conflict once and for all.
(BEGIN VIDEO CLIP)
FOUAD SINIORA, LEBANESE PRIME MINISTER: Why we are being asked to stop Hezbollah, but at the same time, nobody is putting the necessary pressure on Israel to resolve the problem? I mean, the problem -- the problem is causing the presence of Hezbollah. Let's get rid of the problem and Hezbollah will not -- won't be there. It will be a political -- a political party.
(END VIDEO CLIP)
BLITZER: President Bush has been working the phones, talking to the Lebanese prime minister, Fouad Siniora, and other leaders in the region. But the crisis is already shaking the oil markets. Crude oil is at another record high, settling at more than $77 a barrel. And it hit $78 earlier in the day.
We're covering all angles of this very fast-moving story, with correspondents in all of the key locations.
CNN's Alessio Vinci is joining us from Beirut. He's watching what's happening there.
CNN's John Vause is in northern Israel.
Our White House correspondent, Suzanne Malveaux, is in St. Petersburg, Russia, traveling with the president, who's at the G8 summit.
Our senior Pentagon correspondent, Jamie McIntyre, is looking at contingency plans for the U.S. military.
But let's begin in the Lebanese capital, where Israeli airstrikes have occurred once again today.
Alessio Vinci has the latest from there -- Alessio.
ALESSIO VINCI, CNN CORRESPONDENT: Hello, Wolf.
Earlier this evening we witnessed an extraordinary rapid succession of events that really indicates how quickly the violence here can escalate.
First, Israeli gunships hitting hard in the southern outskirts of Beirut, specifically targeting the Hezbollah headquarters led by Sheik Hassan Nasrallah, destroying the his home and office and his residence there. No casualties there reported, but certainly heavy damaged.
Now, moments later, after that attack, he made an audio appearance. Sheik Nasrallah made an audio appearance saying, first of all, that he was fine, him and his family were fine. And then, as you mentioned, declared all-out war against Israel.
He called on his people to resist the attacks against Lebanon and vowing to achieve victory.
Here's a portion of what he said.
(BEGIN AUDIO CLIP)
HASSAN NASRALLAH, HEZBOLLAH LEADER (through translator): You wanted war, an open war. It will be an open war.
You want your government to do -- to change the rule of the game. Then change -- this game will change. Now you know who you are fighting with.
(END AUDIO CLIP)
VINCI: At the end of this taped message that was broadcast, live or on tape, on not just the Al Manar television station, but belongs to Hezbollah here in Lebanon, but in many other television networks here the Sheik Nasrallah made another statement, and basically saying that he warned that the Israeli ship that had hit the southern district of Beirut would burn and sink with tens of sailors. And then moments later, we heard some celebratory gunfire shooting in the air in that area of Beirut, and the idea confirmed that one of its ships that is enforcing a naval blockade off the coast of Beirut had been slightly damaged by what appeared to be a rocket.
Now, meanwhile, a later development here, we understand from local television stations, including Lebanese television stations, that according to them, according to their sources, Israel now is looking for four missing sailors. This is information that we have been unable to confirm either with the IDF or with our independent sources here in Lebanon -- Wolf.
BLITZER: All right, Alessio. We'll stay in touch with you. Stand by. We're going to come back to you.
Alessio Vinci joining us from Beirut.
Let's go to northern Israel right now. John Vause is watching a very, very tense situation from his vantage point, only a few miles from the Lebanese border in the Israeli town of Nahariya -- John.
JOHN VAUSE, CNN CORRESPONDENT: Hello, Wolf.
Normally this town of Nahariya would be buzzing at this time of the evening, 1:00 in the morning. It's a holiday town, but essentially, this city, like so many others in northern Israel, has been locked down. It is tonight, it has been that way for most of the day after Hezbollah militants fired more than 90 Katyushas today, more than 300 in the past 48 hours.
The Israeli military says another two Israeli civilians have been killed. A woman and her 4-year-old grandson died when their home took a direct hit in the small farming village of Mount Meron.
Now, here in this tourist town, there have been other Katyusha attacks, one in the morning, one in the evening here. Thirty people have been wounded. And also, in Safed, at least another dozen people have been hurt.
Israelis living close to the border, about 14 miles away, have now been advised to take cover in bomb shelters, as well as safe rooms in their homes. And about 30 miles away from the border, the military is advising residents there that they should stay off the streets, they should go home, avoid windows and open doors, and that includes residents of the coastal city of Haifa.
The Israeli military now saying that the two rockets which hit Haifa on Thursday were not the usual Katyusha rockets fired by Hezbollah. They had a much longer range. Israeli officials saying those missiles were manufactured in Iran. But so far, there has been no proof of that given by the Israelis -- Wolf.
BLITZER: John Vause, I want you to stand by as well, because we're going to be checking back with you throughout these coming hours.
John Vause in Nahariya.
Meanwhile, the border between Gaza and Egypt is opened again. Hamas militants used rocket-propelled grenades to blast open a gate that had been locked since the start of the current crisis more than two weeks ago.
CNN's Ben Wedeman, who's on the scene for us in Gaza, reports hundreds, perhaps thousands of people, streaming back into Gaza from Egypt. We're going to go to him in our 7:00 p.m. Eastern hour.
President Bush, meanwhile, is working the phones and urging talks with regional leaders. He's in St. Petersburg, Russia, right now for the G8 summit.
Let's bring in our White House correspondent, Suzanne Malveaux. She's traveling with the president.
Update our viewers, Suzanne, how the Bush White House is dealing with this crisis.
SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Well, Wolf, very interesting.
President Bush was all set to put Iran and North Korea at the top of the G8 agenda. But the person who actually sets that agenda the host, Vladimir Putin, officially announcing today that there is a new priority, and that is the Middle East crisis.
(BEGIN VIDEOTAPE)
MALVEAUX (voice-over): President Bush arrived in St. Petersburg two days ahead of the G8 summit to have what aides call private and frank discussions with someone he calls an old friend, Russian President Vladimir Putin. But it's the crisis in the Middle East that has now taken center stage.
Before his arrival aboard Air Force One, Mr. Bush called key allies in the region, the leaders of Egypt and Jordan, to press them to use their influence with Hezbollah to get the Israeli soldiers released. He also called Lebanon's prime minister, Fouad Siniora, to reiterate his belief that Israel has a right to protect itself against Hezbollah but should try to spare the innocent and respect Siniora's authority.
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: Whatever Israel does, though, should not weaken the Siniora government in Lebanon. MALVEAUX: White House officials denied that Mr. Bush was calling for Israel to stop its attacks, saying that was a matter for the Israeli military to decide . But Mr. Bush has not spoken to Israel's prime minister, Ehud Olmert. That task has been left to his secretary of state, Condoleezza Rice.
CONDOLEEZZA RICE, SECRETARY OF STATE: We just continue to ask that the Israelis exercise restraint, be concerned about civilian casualties, be concerned, of course, about civilian infrastructure. And that's been the nature of our conversations.
(END VIDEOTAPE)
MALVEAUX: And Wolf, it is really far from clear whether or not the leaders at the G8 summit are going to be able to come up with some sort of unified response to the Middle East crisis. Already you have a split, not surprising. Russia and France saying they believe Israel has overreacted. The United States and Germany disagree -- Wolf.
BLITZER: Suzanne, thanks very much.
On one side of the conflict is Israel. The other side right now, Hezbollah and Lebanon. But might innocent Americans somehow be caught in the middle? The State Department is telling Americans to leave Lebanon if they can.
Our senior Pentagon correspondent, Jamie McIntyre, has details -- Jamie.
JAMIE MCINTYRE, CNN SR. PENTAGON CORRESPONDENT: Well, Wolf, at this point, the open warfare between Israel and Hezbollah has essentially trapped some 25,000 Americans in Lebanon.
(BEGIN VIDEOTAPE)
MCINTYRE (voice-over): The State Department says all U.S. citizens, except essential embassy personnel, should consider leaving what has become a war zone. The American Embassy in Beirut has put an authorized departure policy in effect. but with no safe way out for now, most persons are on their own.
SEAN MCCORMACK, STATE DEPT. SPOKESMAN: Conditions permitting, we have urged American citizens to leave -- consider leaving Lebanon. But again, they have to take into account their own personal security. That's going to be a decision that they have -- that they have to make themselves
MCINTYRE: With Beirut's main airport cratered by Israeli bombs, the usual manner of evacuating Americans, chartering commercial aircraft, is not an option. Although, under a brief cease-fire, Israel allowed Lebanon to move five airliners to safety and also permitted the former Lebanese prime minister's private plane to take off before the runway was bombed again.
Pentagon sources say the U.S. military is considering a number of options if an emergency evacuation is ordered. The nearest U.S. ships with helicopters are part of a seven-ship task force headed by the Iwo Jima, which is in the Red Sea. It would take several days, though, for it to move back through the Suez Canal to the Mediterranean because it would first have to collect many of its 2,200 Marines who are ashore in Jordan on an exercise.
Another option would be to move helicopters to the nearby island of Cyprus, roughly 150 miles from Beirut, close enough for unrefueled helicopter runs back and forth.
(END VIDEOTAPE)
MCINTYRE: And Wolf, it's also possible the U.S. may work out another cease-fire to be able to use the Beirut International Airport given its close ties with Israel. But, Wolf, whatever the United States does, it won't be entirely in secret. The last thing they want to do is send in evacuation helicopters that could be confused with Israeli helicopter gunships -- Wolf.
BLITZER: All right, Jamie. Thank you very much.
Jamie McIntyre reporting.
The State Department, by the way, has set up two phone numbers for American citizens in Lebanon or for families who have children there. They can get information on security, ways to leave and other matters.
The overseas number is this: 0-1-202-501-4444. Here in the United States, there's another number, and let me read it to you. 888-407-4747.
The State Department says these hotlines concern trying to get people out of Lebanon, and they are not for checking on people's well being. But those are the numbers in case you need to know.
Let's check in with Jack Cafferty. He's in New York with "The Cafferty File" -- Jack.
JACK CAFFERTY, CNN ANCHOR: Thanks, Wolf.
A couple of things to think about as conditions in the Middle East continue to deteriorate and the whole situation gets a little scarier as we go along. Israel says the long-range missiles fired at Haifa from Lebanon were made in Iran. Hezbollah guerillas have denied firing those two rockets at Haifa. But nevertheless, Israel is blaming that group for the attack. In the past, Hezbollah has fired hundreds of the shorter-range Katyusha rockets at Israel.
Meanwhile, Iran's president is warning Israel not to attack Syria, another country that Israel has accused of sponsoring terrorism in the past. Mahmoud Ahmadinejad says if Israel goes after Syria, it will be "equivalent to an attack on the whole Islamic world" and Israel will face a crushing response.
So here is the question: What does it mean if Iran is supplying missiles to Hezbollah? E-mail your thoughts to CaffertyFile@CNN.com or go to CNN.com/CaffertyFile -- Wolf.
BLITZER: Jack, thank you.
And if you want a sneak preview, by the way, of Jack's questions, plus an early read on the day's political news and what's ahead in THE SITUATION ROOM, sign up for our daily e-mail alert. Just go to CNN.com/situationroom.
Up ahead, the Middle East crisis about to hit home for all of us. Crude oil prices spiking to a record high. CNN's Ali Velshi is standing by with the latest on that front.
Also, the former Israeli prime minister, Benjamin Netanyahu, he'll join us in THE SITUATION ROOM to talk about the escalating violence.
And we'll also hear from James Zogby of the Arab American Institute.
Complete coverage of the Middle East crisis.
Stay with us. You're in THE SITUATION ROOM.
(COMMERCIAL BREAK)
BLITZER: Welcome back.
We have the latest developments on the escalating tensions in the Middle East right now. Hezbollah is vowing an all-out war against Israel, saying it will take the fight to Haifa and beyond. Israel is not backing down, bombing the home of Hezbollah's leader and trying to seal off Lebanon from the outside world.
Meanwhile, Lebanon's prime minister today says Hezbollah's decision to kidnap two Israeli soldiers was irresponsible, but the Lebanese prime minister also calling Israel's response disproportionate.
The Associated Press reports Israel as saying one of its warships was hit by an unmanned Hezbollah aircraft rigged with explosives. There are conflicting reports on the severity of the damage.
The Pentagon is drawing up plans for a possible evacuation of as many as 25,000 U.S. citizens living in Lebanon.
Perhaps forgotten in the conflict are the many innocent civilians caught up in the crossfire. How might Israel ensure they are not unduly punished?
(BEGIN VIDEOTAPE)
BLITZER: And joining us now is the former prime minister of Israel, Benjamin Netanyahu. He now leads the opposition in the Knesset. Prime Minister, thanks very much for coming in on such a hectic day.
This is a little war right now, but is it about to become a bigger war?
BENJAMIN NETANYAHU, FMR. ISRAELI PRIME MINISTER: Well, it has to be a successful battle to stop the rocketing of Israeli towns and cities by the criminal Hezbollah terror organization. I think that if we don't stop it, then Hezbollah well arm itself with still longer- range missiles, deadlier projectiles, to wreak more havoc and more death on innocent civilians.
And coincidentally, it would also vitiate completely Lebanon's sovereignty. Lebanon is not now a sovereign country. It has a state within a state, a criminal organization that is controlled and directed by two foreign states, Iran and Syria. And it's doing -- Hezbollah is doing whatever it pleases on Lebanon's soil.
So, destroying Hezbollah's fighting ability, which is what U.N. Resolution 1559 stipulated when Israel left Lebanon, I think is important for our security and for the hopes of millions of Lebanese that they'll regain their country.
BLITZER: Since the Lebanese government is incapable or unwilling to take on Hezbollah, as you point out right now, is that Israel's military objective right now, to destroy Hezbollah's military capability?
NETANYAHU: I think it should be, and I believe it is. But, of course, you'd have to ask that of the government. What we've done in Israel is to close ranks behind the government when our country is being attacked by these wanton savage rocket attacks.
BLITZER: Why punish so many innocent people in Lebanon, many of whom may be sympathetic, may be critical themselves of Hezbollah's role in Lebanon? Why go after the innocents in Lebanon who are being punished, in effect, by some of the Israeli strikes, for example, on the Beirut International Airport?
NETANYAHU: The Beirut International Airport, like the Damascus International Airport, is a source of conduit for weapons, for material, for weapons and for other things that Hezbollah has been using, as is the Beirut-Damascus highway. These targets have been hit not to punish Lebanese, but to interdict Hezbollah capabilities.
You know, the terrorists are very clever. I mean, as we speak, rockets are being fired by Hezbollah from crowded neighborhoods. What they're doing is targeting civilians in Israel and hiding behind civilians in Lebanon in the hope that they'll purchase immunity.
No same government would give the terrorists such immunity as they rocket our population. But what a responsibility government tries to do is try to minimize civilian casualties as we target the terrorists. And this is being done, again, as we speak, by America and Britain and others in Iraq, in their battle against terrorism. BLITZER: Let me interrupt for a moment and read to you what the president of Iran, Mahmoud Ahmadinejad, said yesterday.
He said, "If the occupying regime of Jerusalem attacks Syria, it will be equivalent to an attack on the whole Islamic world and the regime" -- namely, Israel -- "will face a crushing response."
Do you take a threat like that from the Iranian leader seriously?
NETANYAHU: Oh, I take all his threats seriously, because when a person says that he's -- while denying the Holocaust, is openly saying that he's preparing a new Holocaust by developing atomic bombs which he says openly he will use against Israel, yes, I take the rantings of a person like that seriously. Not because they're sane, but because he may actually mean it.
So, yes, I take Iran seriously. But at the same time, I also know that Syria harbors terrorists.
Khaled Mashaal, the controller of the Hamas terror organization, sits openly in Damascus. And in Damascus, there are -- the Syrian government itself is controlling and directing Hezbollah.
BLITZER: So should the Israeli military go after targets in Syria and/or Iran?
NETANYAHU: I think what we should do is get the international community to press Syria and Iran rather than pressing Israel, which is merely fulfilling U.N. resolutions. Israel, which vacated Lebanon completely, and with a promise of a U.N. resolution that it will not be attacked from Lebanon, and that Hezbollah would dismantle there, is merely filling -- fulfilling -- forcibly trying to fulfill the international resolution that Lebanon has failed to fulfill.
So, Israel -- the last thing the international community should do is press on Israel. It should press on Syria and Iran for condoning this criminal activity in violation of international law and common sense.
BLITZER: One final question. I know you're supporting the position of the Israeli government right now. You're the leader of the opposition. Is this a moment that the Likud should come back into the government and there should be a national unity government encompassing almost all of the major political parties in the Knesset?
NETANYAHU: There's national unity right now in the mere fact that I'm here talking to you and defending the government. It tells you that we've all closed ranks.
I'm not sure that translates into a political shift, because we're not on the eve of the Six Day War on the eve of Yom Kippur. This is not in that magnitude.
There is a need to take forceful action. The government regrettably delayed taking this action for a long time. And the terror forces were emboldened to increase their aggression. But I think, right now, I, and so many others are supporting the government, precisely because it's doing late -- but not better late than ever. It's doing the right thing. I think I can fully support this without having a seat round the government table. I can do that from my seat in the Knesset just as well.
BLITZER: Benjamin Netanyahu, the former prime minister of Israel.
Thanks very much for coming in.
NETANYAHU: Thank you.
(END VIDEOTAPE)
BLITZER: And joining us now is James Zogby, the president of the Arab American Institute, a long-time observer of this region with deep personal roots in Lebanon as well.
You were telling me you have a nephew who is sort of stranded in Beirut right now?
JAMES ZOGBY, PRESIDENT, ARAB AMERICAN INSTITUTE: Stuck in Lebanon because the highway's gone, the airport's gone. And he was just on a Rotary fellowship to the American University of Beirut and was about to come home when -- when this hit.
BLITZER: Have you heard from him?
ZOGBY: We have. We've spoken with him, although right now it's difficult because, you know, the cell towers have been bombed. So you can't get cell phone calls in easily.
Some areas of the country are OK. But apparently there's not a communications -- not an ease in communications right now.
BLITZER: Was it wrong for Hezbollah to go across that line and go into Israel, kill and kidnap those Israeli soldiers?
ZOGBY: I think many Lebanese agree that it was wrong. It was provocative and it was reckless. But I agree with the Lebanese prime minister that Israel's response to this has been wholly disproportionate and a form of collective punishment.
Frankly, Lebanese have seen this time and time again. But what happens is that moderate forces end up losing out in a situation like this because anger rules the street.
At some point, Israel and the United States have to begin to get it, that these kinds of responses don't end up defeating extremism, they end up fueling the next round of extremists.
BLITZER: What should Israel have done when this very provocative act occurred? How should Israel have responded?
ZOGBY: Let's not forget the context in which it occurred. I understand that people are pointing the finger at Iran, but the timing of this, no doubt, had to do with the fact that there was the situation going on in Gaza. And the Arab street, throughout Arab world, is inflamed by what is happening in Gaza.
And right now we in the United States have forgotten about it. Our attention is focused to another place.
BLITZER: We haven't totally forgotten it. We have Ben Wedeman, our reporter there.
ZOGBY: Right.
BLITZER: And we're watching the situation.
ZOGBY: 1.4 million people are under siege and have been under siege now for many, many months. No access or egress, vegetables rotting at the -- at the exit points. And medicines are in short supply, et cetera.
In that context, Hezbollah had an opportunity...
BLITZER: Let me just interrupt for one second. In that context, though, there were acts, those rockets coming into Israel from Gaza. It's clearly a provocative act, too.
ZOGBY: There's been a cycle. There are pathologies on all sides here.
There were assassinations of Palestinian leaders, there were the families that were killed, the one on the beach, the one in the home. There were literally scores of Palestinian civilians killed in the period leading up to this, as well as these Kassam rockets.
So the cycle is there. The assault on Gaza is there. And Hezbollah takes advantage of that in order to play to the Arab street and say, we defend honor.
BLITZER: Is this a Hezbollah decision in and of itself, or, as so many U.S. officials...
ZOGBY: Right.
BLITZER: ... and Israeli officials and other observers insist, this is really Hezbollah doing the work of Iran, which is trying to change the subject from the pressure on it to -- because of its nuclear program?
ZOGBY: Well, there's no question that Iran and Hezbollah have close ties. There's no question that they're funded, no question that they're armed, and no question that, to some extent, there may be direction. But there's also a more immediate context here in which Hezbollah found that it could act at this time, in the context of what was going on in Gaza, and play to Arab support.
So...
BLITZER: So, is Hamas and Hezbollah, are they now, in effect, in an alliance?
ZOGBY: Well, the alliance is the fact that both are fighting the same enemy. Both are groups that have found common cause, and a common timing for their cause.
But, because they have defined the game doesn't mean we had to play. And when the president of the United States ends up appearing more like a coat holder or a cheerleader, instead of someone who can both talk about restraint, act on restraint, and send a mediator who will actually begin to unravel this situation, we're in danger here of having this spin out of control.
And let's remember, precisely because Hezbollah and Iran are as close as they are, we happen to be right now in Iran's backyard. We have soldiers at risk in a very volatile region, and we have to be careful here how we operate.
BLITZER: Who could the president be sending to the region right now? There's some suggestion former President Bill Clinton, former President George Herbert Walker Bush.
What do you think?
ZOGBY: Someone closer to home to him is James Baker, who has defended him and helped launch his presidency in 2000, to the dismay of some. A skilled negotiator.
And let's not forget George Mitchell, who worked wonders in Ireland, produced a brilliant document that could have, if it had been listened to by this administration, help restore and move us back to the peace process, but it wasn't.
I think that there's plenty of great people going around. The problem is this, if the president appoints, he has to fully empower and back up and not undercut, as we've seen too often in the past. But if we don't act now, the danger is that the pathologies playing out on both sides will spin out of control and, god for bid, if Syria and Iran are involved in some way, by Israel, and respond in kind, the destabilization that we will encounter, we'll be living with the consequences for a long time to come, with 130,000 American soldiers trapped in the middle of this game.
BLITZER: James Zogby, the president of the Arab American Institute.
Let's hope your nephew and everyone else survives this current escalating tense situation in the region.
ZOGBY: Thank you, Wolf.
BLITZER: Appreciate your coming in.
ZOGBY: Thanks.
BLITZER: The crisis is sparking a war of words over at the United Nations. Our senior U.N. correspondent, Richard Roth, is joining us live with more on that -- Richard.
RICHARD ROTH, CNN SR. U.N. CORRESPONDENT: Frustration and anger, Wolf, here at the U.N. boiling over on the world stage.
(BEGIN VIDEOTAPE)
ROTH (voice-over): Instead of across their own borders, Mideast neighbors Israel and Lebanon lobbed accusations and denunciations over the Security Council table.
AMB. NOUHAD MAHMOUD, LEBANESE FOREIGN MIN. REP.: What Israel is undertaking is an act of aggression and devastation aimed at bringing Lebanon to its knees, and subverting it by any means.
DAN GILLERMAN, ISRAELI AMBASSADOR TO THE U.N.: Having shown unparalleled restraint for six years while bearing the brunt of countless attacks, Israel had to respond to this absolutely unprovoked assault, whose scale and depth was unprecedented in recent years.
ROTH: Lebanon appealed for help in stopping Israeli attacks.
UNIDENTIFIED MALE (through translator): International community is called upon, as represented by the Security Council, to take an immediate clear decision, calling for comprehensive immediate cease- fire and lifting of the air and sea blockade imposed upon Lebanon, and calling for an end of Israeli aggression.
GILLERMAN: You know deep in your heart that, if you could, you would be sitting here right next to me right now, because you know that we are doing the right thing. And that if we succeed, Lebanon will be the beneficiary.
ROTH: The U.S. blasted Syria and Iran for having a hand in the missile attacks in Israel. The Syrian ambassador said he was denied permission to respond inside the Security Council.
(END VIDEOTAPE)
ROTH: The Security Council only produced a short statement welcoming the visit to the Middle East by three U.N. advisors sent at the behest of Kofi Annan and Condoleezza Rice -- Wolf.
BLITZER: Thank you very much for that. Richard Roth reporting for us from the United Nations.
As Israeli forces attempt to cut off Beirut's roads, ports and airports, people in the embattled city are turning to the Internet, trying to connect with the outside world.
Our Abbi Tatton is standing by details -- Abbi.
ABBI TATTON, CNN INTERNET CORRESPONDENT: Wolf, this is the view from the kitchen window of one South Beirut resident. Moussa Bashir has been updating this web site almost hourly in the last couple of days, despite power outages that he is reporting.
He said this morning that "explosions kept us awake last night." He went out and recorded those results of those explosions today, these just a few hundred feet from his house.
Other Beirut residents reporting that people are stockpiling food. Pictures of a local supermarket here showing that the shelves are empty.
But it's not just reports from Beirut that we are getting. This is a kibbutz just over the border into Israel, just a couple of miles from the Lebanese border there. It's called Kibbutz Matsuba (ph). And residents there have been posting online the warnings that they're getting from the local TV, this one warning residents to get into shelters -- Wolf.
BLITZER: All right, Abbi. Thank you very much.
Coming up, could the crisis spread across the broader Middle East? We're going to show you some disturbing scenarios. Tom Foreman standing by. Stay with us.
Plus, a leading American evangelical leader invited to North Korea. CNN's Zain Verjee is now in South Korea. This is a story you're going to see only here on CNN.
(COMMERCIAL BREAK)
BLITZER: The latest on the Middle East right now. Hezbollah vowing an all-out war against Israel. Israel not backing down, by any means, bombing the home of Hezbollah's leader and trying to seal off Lebanon.
Meanwhile, Lebanon's prime minister says Hezbollah's decision to kidnap two Israeli soldiers was irresponsible. But he's also calling Israel's response disproportionate.
Lebanese officials tell CNN the fighting has already cost some 63 Lebanese lives.
Meanwhile, Israel says one of its warships was damaged by an unmanned Hezbollah aircraft, rigged with explosives. And the Pentagon, right now, drawing up plans for a possible evacuation of some 25,000 American citizens living in Lebanon.
So, what happens if the current crisis spirals out of control? CNN's Tom Foreman has been investigating that awful scenario -- Tom.
TOM FOREMAN, CNN CORRESPONDENT: What I'm hearing is a tremendous, tremendous number of widely ranging opinions about that. But let's start with the basics.
If you're having trouble keeping up with all this, let's look. We're talking about north of Africa, basically here. This is the area that we're talking about. And here are the basics. This is the border. Israel is down here; Lebanon is up here. The Southern part of Lebanon is largely controlled by Hezbollah, which is this internationally recognized terrorist group. It's been attacking Israel across this border for a long time. They've kidnapped the soldiers here. And now Israel is just raining down upon them as much as they can in this attack.
Take a look at what happened today. We've had more attacks in Southern Beirut as they attack the headquarters of these folks, they hit the airport road out here, they hit a lot of different places and the still have a blockade in place out here. And this is where we had the ship that we mentioned a moment ago that was attacked, apparently with a drone of some sort that flew out of this area.
They're surrounding Hezbollah down here and trying to contain them. The big question is, this an area only about the size of Maryland. But will this battle get much, much bigger?
(BEGIN VIDEOTAPE)
FOREMAN (voice-over): Israel is makes its position clear. Every hour that Hezbollah holds onto the captured Israeli soldiers, Israeli forces will hammer Hezbollah's home base in Lebanon.
For years, the internationally recognized terrorist group has attacked Israel from across the Lebanese border. Now Israel is going after Hezbollah's headquarters, communications lines and weapons.
BRIG. GEN. JAMES MARKS (RET.), CNN MILITARY ANALYST: They have already demonstrated that they're having a pretty good level of success of slamming into Hezbollah and bringing some great wrath down on Hezbollah that is long overdue.
FOREMAN: But with each hour, the conflict is also threatening to grow. Hezbollah is mocking Israel's efforts to rescue the kidnapped soldiers.
HASSAN NASRALLAH, HEZBOLLAH LEADER (through translator): You want an open war, we will go to the open war, and we are ready for it.
FOREMAN: So how could this expand to other bigger countries? One theory is simple. Iran and Syria are long-time supporters of Hezbollah. If Israel expands its efforts to include attacks on Syria, that country could be drawn into the battle.
The United States and other countries are already concerned about the possibility of regional warfare. The threat posed by Iran's nuclear program has been temporarily overshadowed, but it now stands accused of being the supplier of the missiles being used against Israel.
(END VIDEOTAPE)
FOREMAN: So this is just a measure of this unbelievable uncertainty going on over there right now. What we've got is a lot of power, a lot of people very upset in a very volatile part of the world.
Take a real quick look at this if I can get this back where you want to here. Over here is where we would find Iran. It's not that far away. And this has been the big concern for the U.S. Right next door to it is where we have Iraq, where we have a lot of U.S. troops.
All of the people I talk today could reach no conclusion how all of these forces might come together. But what they're saying is there are a lot of big powers that are very angry and very concerned, and they're all swirling around each other, and in this region, that's why people think it could expand, even if they don't know quite how.
BLITZER: It's very unpredictable, and I've spent a lot of time in that part of the world. Totally unpredictable. Thanks very much for that, Tom.
Coming up, oil turmoil. If the Middle East violence continues, it could push oil prices even higher, making that $3 a gallon you pay right now seem cheap.
And in California, two wildfires. Separately, they've destroyed 61,000 acres. Now these ferocious fires may be joining forces. Stay with us.
(COMMERCIAL BREAK)
BLITZER: We're continuing to watch the escalating situation in the Middle East right now. We're going to go back there momentarily.
But there's some other important news happening here in the United States, as well, including the heat that's dogging some 3,000 firefighters working two major blazes in Southern California. It's simply burning out of control right now, and they're threatening to merge into one giant wildfire.
CNN's Chris Lawrence is joining us now from the fire lines with the latest.
Looks awful, that smoke behind you, Chris.
CHRIS LAWRENCE, CNN CORRESPONDENT: It does, Wolf. But there was a worst-case scenario that this fire would move into a heavy populated tourist area surrounded by forests, Big Bear. Officials now tell us that it is very, very unlikely that it will move into Big Bear.
Take a look at what we're dealing with here. This is the Sawtooth fire here, burning across the mountain here in the Morongo Valley, California. People here have been keeping a close eye on it, because as you said, it could merge with another smaller fire.
Officials say right now, their last count, it was within a half a mile. But they say the two fires may have already merged. There is so much smoke over the area where they would come together they can't be sure. But it is either within a half a mile or it has already merged. Now, you can see this area is under mandatory evacuation. The sheriff told everyone living here to get out of this area. Right now we are seeing the sheriff come down the street literally with a bull horn. You can see this truck, telling people to get out of the street, that it's time to get out of this area.
But a lot of people have not listened. We can pan over. You can see some of the folks here on the house right next to us have been just standing there and watching this fire burn. A lot of the folks here tell us they feel the firefighters have been able to keep this fire on the mountain. They have refused to evacuate their homes even as the sheriff is coming by telling people that it is time to go -- Wolf.
BLITZER: We'll continue to watch this fire together with you, Chris. Thanks very much. Good luck to all the folks out there.
And still to come here in THE SITUATION ROOM, it's happened for a second day in the row, a record high for oil prices. If the Middle East crisis continues -- and it looks like it's going to continue, at least in the short term -- might oil prices reach even higher levels, higher levels than we've ever seen before?
Jack Cafferty also wants to know this. What does it mean if Iran is giving missiles to Hezbollah? Jack will be back with your e-mail. Stay with us.
(COMMERCIAL BREAK)
BLITZER: Welcome back.
It's just after midnight in Beirut, Lebanon. I want to go back there. Our correspondent, Alessio Vinci, is on the scene for us.
These have been incredibly difficult days for you and all of our colleagues there. But the people in Beirut are suffering, clearly, as well. Update our viewers on what we know right now, Alessio.
ALESSIO VINCI, CNN CORRESPONDENT: Wolf, a quick update on that Israeli ship that has struck -- that has hit several targets in the southern Beirut area here.
We understand from the IDF now that, contrary to earlier reports, that ship was hit by what appeared to be a rocket and only slightly damaged. We understand now from an IDF spokesman that is quoted by the IDF newspaper in Jerusalem, that that ship actually has received more damage than originally planned (ph).
And that ship actually has been recalled and brought back to Israel. And we understand from that report that this ship is now on fire.
Now, this is a ship, according to reports here, that has hit the Hezbollah headquarters here in southern Beirut. You remember the Hezbollah leader, Sheikh Hassan Nasrallah, making inflammatory remarks regarding that very specific ship, saying, "Look out your window and look at it, it will sink before your eyes." And moments later that ship was hit by what we believe to be a rocket. Now we understand it might have been a Hezbollah drone hitting that ship -- Wolf.
BLITZER: Alessio, thank you very much. We're going to continue to check back with you, this story not going away. His references to the IDF, the Israeli Defense Force, that's the name of the Israeli army.
Lou Dobbs, getting ready for his program that begins right at the top of the hour. He's standing by telling us what he's working on -- Lou.
LOU DOBBS, HOST, "LOU DOBBS TONIGHT": Wolf, thank you.
Coming up at 6 p.m. Eastern here on CNN, we'll be reporting all of the latest developments on Hezbollah's declaration of open war on Israel as Israel and Hezbollah escalate their conflict. We'll be live with those reports in Beirut, Northern Israel and at the Pentagon.
The Israeli ambassador to the United Nations, Dan Gillerman, joins us.
And radical Islamist terrorists trying to enter the United States could be receiving help from the government of Hugo Chavez in Venezuela. We'll have that special report.
And communities all across this country, so fed up with the federal government's failure to stop illegal immigration they are taking matters into their own hands. We'll be talking with the mayor of Hazleton, Pennsylvania, who has successfully put together the strongest legislation and ordinances in the country.
We hope you'll be with us at the top of the hour here on CNN for that and a great deal more.
Wolf, back to you.
BLITZER: Thank you very much, Lou. We'll be watching.
Let's check in on the price of oil right now. CNN's Ali Velshi is in New York with "The Bottom Line". How bad is it, Ali?
ALI VELSHI, CNN CORRESPONDENT: Well, it's pretty bad, Wolf. We never really want to be talking about money when all this stuff is going on. But the reality is, what's going on, on the other side of the word, if it doesn't have some personal connection to you, it's pretty soon going to have one.
That's the new settling price of oil in New York, $77.03. It's the highest that's ever been exchanged for a barrel of oil. Now of course, taking inflation into account, you go back to the '80s. Oil would have to be around $90 to be an all-time high.
One thing to remember, Wolf, is despite everything that's going on in the Middle East today, there's no less oil production in the world. This is the fear that it could be, particularly if Iran gets dragged further into this matter and cuts off a lot of the oil supplies.
So we are looking at a very high price for oil. We talked to some experts who say you will see this at the gas pump within a few days, eight to 12 cents higher, probably.
We're looking at the markets that have been affected by this, too, the Dow down almost 107 points to 10,739. The NASDAQ off 16 to 2,037 -- Wolf.
BLITZER: Ali, thank you very much for that.
Now, coming up more on the crisis in the Middle East.
Also, Zain Verjee is right now in South Korea, tracking a story, tracking the story involving the author of the best-selling book "The Purpose Liven (sic) Life" and his plans to visit North Korea. We'll update you on what's going on, on that front.
And in our 7 p.m. Eastern hour, there's a new chapter in the Valerie Plame affair. The outed CIA officer is speaking out about what happened and her new lawsuit. Stay with us.
(COMMERCIAL BREAK)
BLITZER: North Korea has earned the ire of many after its recent missile tests. Now it's getting attention from another unexpected act that involves the author of the best-selling book "The Purpose Liven Drife (sic)" and his hopes that were dashed.
CNN's Zain Verjee is in South Korea right now with a story you'll see only on CNN -- Zain.
ZAIN VERJEE, CNN ANCHOR: Wolf, it's off for now. Pastor Warren was invited by North Korea at a politically delicate time between Pyongyang and Washington. But at the last minute, North Korea changed plans.
(BEGIN VIDEOTAPE)
VERJEE (voice-over): Evangelical Pastor Rick Warren's trip to South Korea has been big news here. He's been preaching, speaking and meeting church leaders.
His planned trip to North Korea's Kumgang Mountain was bigger news, more controversial and more sensitive because of the timing. North Korea test fired seven missiles over a week ago, rattled its uneasy neighbors, provoked the anger of the United States and sent the United Nations into a diplomatic frenzy.
A last minute decision by North Korea threw Dr. Warren's plans off track. His spokesperson told CNN they were informed that "the planning meeting scheduled for Monday in North Korea has been postponed, perhaps to be rescheduled later in the week." He went on to say "the invitation still stands for Dr. Warren to preach" in Pyongyang next year. But with North Korea, nothing is every guaranteed. For weeks, the author of the best selling book, "Purpose Driven Life", said he wasn't going to talk politics, just peace and a chance to preach.
Significant, because the isolated country doesn't allow the practice of religion outside a handful of state-controlled churches. The only worship openly embraced is the adoration of the country's leader, Kim Jong-Il, and his late father, Kim Il-Sung.
North Korea has a history of engagement with American religious leaders. The Reverend Billy Graham was the first American to preach there since the country was divided in 1945. The Reverend Sun Myung Moon was also there, as well.
North Koreans have hosted the most unlikely guests. Roger Clinton, former President Bill Clinton's brother, strutted his stuff at a rock concert in Pyongyang.
Regional experts say Warren's invitation could have been an attempt by North Korea to send a signal to the U.S. that they want to engage Americans, but the signal for Warren now is, don't come, at least not yet.
(on camera): The sense from the Warren camp is one of disappointment, but they're still holding out hope that North Korea will honor its well publicized intentions -- Wolf.
(END VIDEOTAPE)
BLITZER: Zain Verjee reporting. Thank you very much. Zain is going to have a series of exclusive reports from the Korean Peninsula here in THE SITUATION ROOM starting on Monday.
Up next Jack Cafferty's wondering what it means if Iran is supplying missiles to Hezbollah. He's standing by with "The Cafferty File".
(COMMERCIAL BREAK)
BLITZER: Let's get back to Jack Cafferty in New York -- Jack.
CAFFERTY: Israel says the long range missiles that were fired at Haifa from Lebanon were made in Iran. Hezbollah guerrillas have denied firing those two rockets, but Israel is blaming that group nevertheless for the attack.
The question is, what does it mean if Iran is supplying missiles to Hezbollah?
Mark in Oklahoma City: "It means the U.S., Israel and all non- Muslim nations should take this opportunity to crush the terror- sponsoring nations of Iran and Syria once and for all. It is a war that will have to be fought eventually. We might as well do it before Iran has 50 nuclear bombs to throw at Israel."
Katie in Baton Rouge, Louisiana: "Iran has the right to supply weapons to Hezbollah when its own national interests are at stake. It's hypocritical for people within the U.S. to be appalled, when the U.S. is supplying Israel with the weapons they are using to kill innocent people."
Matt in Dallas: "Jack, it means we should have dealt with Iran more forcibly months ago instead of running around the diplomatic table playing games with people who clearly have no desire for peace."
John in California: "It means that Israel hopefully with the full support of the U.S., goes ahead with a massive response against the Hamas and Hezbollah terrorists and Syria and Iran, the terrorist states that pull their strings. It's the trigger event we should use to wipe out radical Islam."
David in Wimberley, Texas: "It means we screwed up big-time by neutralizing the counterbalance against Iran, which has always been Iraq. The real sponsors of terrorism were always in Tehran, not Baghdad."
Ian in Toronto: "The rockets were made in Iran that hit Israel, but the bombs that Israel drops are made in the U.S., so shut up."
And finally, if you didn't see your e-mail here, you can go to CNN.com/CaffertyFile and read some more of these online -- Wolf.
BLITZER: And we'll have a lot more in one hour, Jack, so stand by. We're here in THE SITUATION ROOM weekday afternoons from 4 to 6 p.m. Eastern, back at 7 p.m. Eastern, just an hour from now.
Until then, thanks very much for joining us. Let's go to New York. "LOU DOBBS TONIGHT" starts right now. Lou's there -- Lou.
LOU DOBBS, CNN ANCHOR: Thank you, Wolf.
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