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CNN Saturday Morning News

Boston Prepares for Democratic Convention; Will 9/11 Commission Recommendations Be Adopted?

Aired July 24, 2004 - 07:00   ET

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

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


DREW GRIFFIN, CNN ANCHOR: From the CNN Center in Atlanta, this is "CNN SATURDAY MORNING."
It's July 24.

And good morning to you.

I'm Drew Griffin.

BETTY NGUYEN, CNN ANCHOR: And I'm Betty Nguyen.

Thanks so much for being with us this morning.

Here's what's coming up this hour.

Boston braces for the Democrats. The four day convention is the scene of extraordinary security and officials warn the news media to be on guard, as well. We'll have a live report.

Plus, terrorism is also very much on the minds of Olympics organizers in Athens, Greece and they have the huge bills to prove it. Sports business analyst Rick Horrow will join us to talk about the financial strain that security has placed on the Games.

And a little bit later, falling to Earth more than 100 miles per hour is one way to blow out your birthday candles. I can't wait to see what this guy does next year, when he turns 94.

That and much, much more.

But first, the news.

GRIFFIN: A U.S. military has died of wounds suffered yesterday during operations in the al-Anbar Province. That's west of Baghdad. Details of the incident not available. The death toll brings the U.S. toll in Iraq to 907.

A high ranking Egyptian diplomat has been taken hostage in Iraq, seized by masked gunmen Friday after leaving the embassy in Baghdad to go to a mosque.

Also in the Iraqi capital this morning, gunmen kidnapped the director of a government owned construction company. Police say the man was snatched from his car as he drove through the city there.

Near Karachi, Pakistan this morning, a remote-controlled bomb ripped through a minivan carrying teachers and other workers from an Islamic school. Amazingly, just one person was killed, but eight were injured, including a person in another vehicle that crashed into the wreckage.

Keeping you informed, this is CNN, the most trusted name in news.

NGUYEN: Our top story now.

The report of the 9/11 Commission has sparked a sense of urgency in Washington and across the nation. But can that be translated into action or will the report gather dust as officials lapse into business and politics as usual?

CNN's Sean Callebs gauged the mood as law makers went on break.

(BEGIN VIDEOTAPE)

SEAN CALLEBS, CNN CORRESPONDENT (voice-over): As Congress headed out of town for a six week recess, signals that for some the vacation will be cut short. Senate leaders from both parties announcing rare August hearings.

SEN. JOSEPH LIEBERMAN (D), CONNECTICUT: You know, I think when members of both houses go home for this recess, the folks back home are going to say why are you home? Why aren't you in Washington dealing with the recommendations of the southern Iraq?

CALLEBS: Senators say they want to have legislation crafted by October 1 so law makers can vote on sweeping national intelligence reforms. The 9/11 findings are now a best seller, hot off the presses and a hot topic among Americans who are issuing a call for action.

In Chicago...

UNIDENTIFIED MALE: As soon as they can. I mean I think you can't wait any longer.

CALLEBS: And in New York...

UNIDENTIFIED MALE: We're in a life or death situation right now, especially in this town.

CALLEBS: 9/11 families are buoyed by the sense of urgency, but concerned the capital will lapse into politics as usual.

BEVERLY ECKERT, WIFE OF 9/11 VICTIM: You know, I'm not in charge. All I can do is, you know, demand high standards and look to Washington to implement these reforms and try to make this country safer.

CALLEBS: Some House Democrats have accused Republican Speaker Hastert of digging in his heels instead of digging into the panel's call for reform. In response, Hastert and Majority Leader Tom DeLay issued a statement saying: "Congress needs to act as quickly as possible," calling for August hearings, as well. They want a proposal on the floor before Congress adjourns in October. At the White House, too, promises for a quick, thorough review. A White House official saying the president directed the chief of staff, Andrew Card, to head a task force involving members of the homeland security team and national security team to review recommendations and report back to him soon, saying, "We are not talking weeks."

(on camera): Commission members have said the presidential election and congressional break aren't reasons to derail efforts to overhaul the way the U.S. gathers and disseminates intelligence. Senator Lieberman saying the United States is dealing with a crisis that "people died and more people will unless we get it together."

Sean Callebs, CNN, Washington.

(END VIDEOTAPE)

NGUYEN: Senator John Rockefeller wants President Bush to nominate a new CIA director and as soon as possible. Rockefeller is the ranking Democrat on the Senate Intelligence Committee. Earlier this month, that committee issued a comprehensive report blasting the CIA. Rockefeller has sent President Bush a letter saying a CIA director is needed and now. He said that person must help correct serious systematic weaknesses across the intelligence community.

Also this morning, two Democratic senators are questioning whether the White House served as a travel agent for Osama bin Laden's family after the September 11 attacks. A chartered plane that's sometimes used by the press corps during presidential trips took 13 members of bin Laden's family out of the country about a week after the terror attacks.

Senators Frank Lautenberg and Charles Schumer want to know whether the White House arranged that flight. There's no comment from the White House travel office.

GRIFFIN: Once again a warning, short on specifics, but the current warning of an attack on the United States is being taken seriously. Some people familiar with the situation expect the nation's terror alert level to be raised.

Details now from justice correspondent Kelli Arena.

(BEGIN VIDEOTAPE)

KELLI ARENA, CNN CORRESPONDENT (voice-over): It's more than just chatter. Senior intelligence officials say they have credible and fairly specific information that al Qaeda is poised to attack. It's just not specific enough.

TOM RIDGE, HOMELAND SECURITY SECRETARY: Although we know not the time and the place and the method, credible reports indicate that al Qaeda is moving forward with its plans to carry out a large scale attack against the United States.

ARENA: Officials say al Qaeda members captured recently in countries including Saudi Arabia, Pakistan and Afghanistan have provided information an attack is being coordinated, some say by Osama bin Laden himself. The information isn't just coming from detainees, but from multiple sources. And it's consistent.

RICHARD FALKENRATH, FORMER WHITE HOUSE ADVISER: This is different. This is more serious, more specific and more centrally led than anything that we've seen in a long time. And hence it's being taken very seriously. I would not be surprised in the least if the government decides to raise the national threat level to orange.

ARENA: Officials say the threat is just as serious as it was in the summer of 2001, just before the attack on September 11. And while al Qaeda is plotting, the Madrid bombings show just how dangerous splinter groups can be. They have no direct connection to al Qaeda, but share their ideologically.

FALKENRATH: And the most likely source -- forms of attack, I think, will be relatively small conventional explosives set off in multiple sites simultaneously. This is a proven al Qaeda M.O.

ARENA: FBI agents continue their search for clues and people. This week, the FBI asked authorities in Mexico to be on the lookout for alleged al Qaeda operative Adnan El Shukrijumah. Officials very concerned about the porous Mexican border.

An even bigger fear, that there is a cell already in the United States that has been in place even before September 11.

KEN PIERNIK, COUNTER-TERRORISM EXPERT: You just don't decide at a moment's notice to conduct a major operation. You have to do your target selection, which sometimes takes years.

ARENA (on camera): But law enforcement sources say there is nothing specific on that front either.

Kelli Arena, CNN, Washington.

(END VIDEOTAPE)

GRIFFIN: That brings us to our e-mail Question of the Day. Are you concerned about another al Qaeda attack in the United States? You can e-mail us now at wam@cnn.com and we'll be happy to read your responses throughout the program.

NGUYEN: The husband of a missing pregnant woman in Utah has the support of his family and his in-laws. Lori Hacking's mother says she met with her son-in-law at a psychiatric hospital. She told CNN's Larry King the family was shocked to learn that Mark Hacking had lied about graduating from college and attending medical school.

(BEGIN VIDEO CLIP FROM CNN'S "LARRY KING LIVE")

LARRY KING, HOST: What do you make of it?

THELMA SOARES, LORI HACKING'S MOTHER: I have more questions than you do, Larry, and I have no answers. We're trying, you know, little by little, we're trying to put the pieces of the puzzle together. And I hope some time in the future we'll be able to understand this. We all lived this with him. His own mother and father lived it with him.

KING: Yes.

SOARES: It's just totally incredible. It's still hard for me to believe that I'm even saying that it's true.

(END VIDEO CLIP)

NGUYEN: Police are calling Hacking a person of interest in his wife's disappearance. Lori Hacking has been missing since Monday.

GRIFFIN: Other stories across America, the Colorado judge in the Kobe Bryant case says the sexual history of the woman accusing Mr. Bryant of rape can be admitted in court. Defense attorneys say the woman did have sex at least two -- with two other men within days of her encounter with the Los Angeles Lakers guard.

A highly specialized Air Force combat rescue unit and the coast Guard worked together to save a fisherman off the Virgin Islands. A Chinese fisherman was injured while working on a tuna boat. The Air Force unit has been in Iraq, but it's stateside now on a break, and had time for this mission of mercy.

Firefighters finally have the upper hand in the latest blaze to threaten southern California. Forestry officials say the onslaught of the blazes is unprecedented this early in the fire season. They may be forced to shut down some national park areas. In just the past week, nearly 50,000 acres have been charred in California.

NGUYEN: Well, Beantown's gearing up for the Democratic national convention, expected to make John Kerry and John Edwards campaign the ticket toppers. A DNC preview just ahead.

GRIFFIN: Plus, the Tour de France. Lance Armstrong may have the right stuff to win, but there's some technology helping him along, when "CNN SATURDAY MORNING" returns.

(COMMERCIAL BREAK)

GRIFFIN: John Kerry's trek to the Democratic national convention takes him to the nation's heartland today. The soon to be Democratic nominee will be joined by his family in Sioux City, Iowa. The visit part of a seven day trip Kerry is making from his birthplace in Colorado to the convention next week in Boston. Kerry's running mate, John Edwards, holds a rally in Milwaukee, Wisconsin today, after attending a Democratic fund-raiser there last night.

A lot of this is scripted, just ready to roll on into Boston. CNN already there, as are many journalists. Thousands of delegates are going to pack Boston's Fleet Center, as the convention kicks off. That happens on Monday.

Since Kerry has already picked Edwards as his running mate, can we expect any surprises, any excitement at all? And will there be a lot of interest in the convention or not?

Well, joining us to talk about it is Terence Samuel, the chief congressional correspondent of "U.S. News & World Report."

Terence, thanks a lot.

It seems like every four years we go through this question. Why do we even have these conventions, since it's a foregone conclusion that Mr. Kerry is going to be nominated?

TERENCE SAMUEL, "U.S. NEWS & WORLD REPORT": It's like watching a game that you know the score of on TiVo. You know what's going to happen, but you watch it anyway. I think a lot of what's happening here, certainly for Kerry, is a chance for him to introduce himself to the American people in a way that doesn't happen any other place except on the convention floor.

Even though he's been running for president for a long time, a lot of Americans still don't know who he is, what he stands for and this is a moment for him to stand there and stand and deliver, so to speak; a chance for the American people to size him up and decide whether he's up for the job or not.

GRIFFIN: And even though he has the nomination wrapped up and this whole thing is scripted, there is a lot yet to lose in this for Mr. Kerry if he doesn't come out of this convention with a significant bounce or significant energy, which really has been lacking in his campaign.

SAMUEL: Well, he's said clearly that the speech is not make or break. But a lot of these races get decided right about now. Like I said, I think a lot of people will get their first chance to decide is this guy up to the job, is he in command, is he somebody that I want to listen to and have in my living room for the next four years.

The bounce question is an interesting one. We saw a small bounce after the Edwards pick and we've been talking about how different this race is, that it started much earlier, that the general election began in March, after Kerry pretty much wrapped up the nomination. But I think we're back to where we are traditionally, which is we won't know until after Labor Day, after the Republican convention, how this thing is actually shaking out in terms of who gets a bounce and who's last and who can carry on into the fall.

GRIFFIN: Terence, if you look at the lineup, especially the prime time lineup, it is liberally filled. The speakers are to the left of the moderates in this party, as opposed to the Republican convention, which seems to be going more moderate in its prime time speakers.

Is that a mistake or is the Democratic Party going to its strength and thinking it can win without the moderate vote?

SAMUEL: I think they're playing to their strength and they're playing to their base. But there is another dynamic at work here, which is there is no argument in the party about how to proceed. The liberals, the Democrats -- the progressives, the right-wing, the conservative Democrats, everybody's on the same page in terms of who they want in the White House, or, more importantly, who they don't want in the White House next January. And as a result, I don't think you're going to see a lot of fire breathing liberal rhetoric on the floor of the convention.

GRIFFIN: Yes, it's definitely one unifying position, which is get rid of Bush at any cost.

SAMUEL: That's pretty much what it means to be a Democrat these days.

GRIFFIN: Is that what -- is that all it's going to take to win?

SAMUEL: That's certainly not all it's going to take. I think John Kerry needs to finally, on Thursday, lay out a vision for what his America will be. And that vision, by necessity, needs to be optimistic. It needs to be clear. It needs to be accessible. And it needs to feel real to people. And I think once he does that, if he does that, we could be in for a pretty interesting contest.

GRIFFIN: Well, you're in for an interesting week.

Terence Samuel, chief congressional correspondent with "U.S. News & World Report."

Thanks for joining us this morning.

Of course, we will have much more on the convention throughout the weekend, and that includes a special Talk To CNN morning on "CNN SUNDAY MORNING." That's coming up at 9:00 tomorrow. We'll take you live to Boston, where the "CAPITAL GANG" is going to answer your e- mail questions. That is tomorrow on "CNN SUNDAY MORNING" at 9:00 Eastern -- Betty.

NGUYEN: There is a first time for everything, Drew, even when you're 93 years old. Yes, Ottist Murdock's leap of faith, when "CNN SATURDAY MORNING" continues.

(COMMERCIAL BREAK)

NGUYEN: Well, as you just saw there, movie selections this weekend include an action drama and a thriller. So if you're in the mood for either one, here is a preview.

(BEGIN VIDEO CLIP FROM "THE BOURNE SUPREMACY," COURTESY UNIVERSAL PICTURES)

UNIDENTIFIED MALE: What were my words? What did I say? (UNINTELLIGIBLE)?

UNIDENTIFIED FEMALE: I did. I swear. Jason, I told them that I believed you.

UNIDENTIFIED MALE: I'm going to ask him some simple questions.

UNIDENTIFIED MALE: Delta, give me something. I need something.

UNIDENTIFIED MALE: They're on it.

UNIDENTIFIED MALE: They're on it.

(END VIDEO CLIP)

NGUYEN: In the sequel to "The Bourne Identity," the United States and China are at the brink of war. The vice premier of China has been assassinated during his visit to America and the evidence points to, of course, Jason Bourne. Now, CIA agent David Webb sets out to discover who stole his false identity. The "Chicago Tribune" calls "The Bourne Supremacy" "a close to perfect example of an expertly designed and executed thriller."

(VIDEO CLIP FROM CATWOMAN, COURTESY WARNER BROTHERS)

NGUYEN: Oh, yes, for all you men out there, meet Patience Philips, who used to be a shy, unglamorous graphic designer at a cosmetics company. But in a mystical twist of fate, she is reborn as Catwoman, with strength, speed and feline intuition. Things become complicated, though, when a cop responsible for catching the Catwoman, of course, falls in love with her. Critics are less than thrilled about this one. The "New York Post" calls it "a purrfectly ridiculous and boring catastrophe." Not good at all.

GRIFFIN: And checking our top stories now, Betty, a U.S. Marine has died from wounds he suffered in action west of Baghdad. Officials say he was conducting a security and stability operation. That's all we know. It happened in the Al Anbar Province.

An Egyptian diplomat has been taken hostage in Iraq. A videotape showing the official surrounded by masked gunmen here. And also this morning, news that the head of a government owned construction company has also been taken captive in Baghdad.

And the mother of a missing Utah woman says she supports her son- in-law. Lori Hacking's mother, visiting Mark Hacking in a psychiatric hospital. He's been a patient there since the day after his pregnant wife went missing.

NGUYEN: Well, most people in their 90s are content just waking up in the morning, not to mention deciding to jump out of a plane. But one hardy soul decided at 93 he waited long enough and took the plunge to celebrate his birthday.

Barry Carpenter of affiliate KDAF has his story.

(BEGIN VIDEOTAPE)

OTTIST MURDOCK, SKYDIVER: OK. I thought you were supposed to hold them like that.

BARRY CARPENTER, KDAF CORRESPONDENT (voice-over): Ninety-three- year-old Ottist Murdock took a crash course in skydiving, then zipped up... UNIDENTIFIED MALE: How does that feel?

MURDOCK: Good.

CARPENTER: ... and buckled down for the ride of his life. He's wanted to skydive for 30 years.

MURDOCK: Well, yes, if I'd have found a place before then, I'd have done it. But, well, I didn't know this place existed.

CARPENTER: He wanted to when he served in the National Guard, before World War 2.

MURDOCK: Learn how to jump. In fact, there was a horse drawn artillery by then. They didn't hardly have the airplane.

There's two.

CARPENTER: Ottist's friends from the Mason Lodge knew about his urge to skydive, but didn't think too much about it. That is, until they saw former President George Bush skydive on his 80th birthday. They surprised him by springing for the jump and Ottist jumped at the chance.

UNIDENTIFIED MALE: No hesitation. Absolutely. I'm ready to go. And we couldn't be prouder of him.

CARPENTER: Family members aren't surprised. After all, this is the man who just a few years ago wanted to ride a pack mule to the bottom of the Grand Canyon.

(on camera): When Murdock was 75 years old, he soloed his first plane flight. Now, at 93 years of age, the sky is once again the limit.

(voice-over): After years of waiting, it was finally time to jump. Freefalling at 120 miles an hour then floating like a butterfly while family and friends below watched. It was icing on the birthday cake of life.

MURDOCK: Oh, it was wonderful, just wonderful. I just made one mistake and opened my mouth, but I didn't hurt anything.

CARPENTER (on camera): This is your 93rd birthday. You're jumping out of an airplane. What are you going to do for your 94th birthday?

MURDOCK: I'm going to be back right over here.

UNIDENTIFIED MALE: Yes!

CARPENTER (voice-over): In Dallas...

MURDOCK: I don't know how to describe it, but it's -- it's a good deal.

CARPENTER: ... Barry Carpenter for CNN.

(END VIDEOTAPE)

NGUYEN: Definitely a good deal. And happy birthday, Ottist. You go, big guy. It looks like fun, although I don't think I could ever do that, ever.

JACQUI JERAS, CNN METEOROLOGIST: Did you see him waving?

NGUYEN: Yes.

JERAS: He was like kind of waving as he was going down.

GRIFFIN: His mouth is open. How can you keep your mouth shut?

JERAS: Was that voluntary?

GRIFFIN: Well, you're supposed to keep it shut.

JERAS: Really?

GRIFFIN: I guess in case there's any flies.

NGUYEN: Or birds come by.

JERAS: Have you guys tried that? Ever?

GRIFFIN: No.

JERAS: No? Never would.

NGUYEN: I'm not planning to.

JERAS: Right.

NGUYEN: How about you?

GRIFFIN: Only in an emergency.

NGUYEN: Yes.

JERAS: Exactly. When necessary.

(WEATHER REPORT)

GRIFFIN: More hostages taken in Iraq. We're going to go live to Baghdad for an update on that.

NGUYEN: Plus, tour technology -- it's not just the crowds who keep the bikers peddling at the Tour de France. We'll show you.

"CNN SATURDAY MORNING" will be right back.

(COMMERCIAL BREAK)

GRIFFIN: A kidnapping in Iraq. This time a high value hostage taken there.

Welcome back.

I'm Drew Griffin.

NGUYEN: And I'm Betty Nguyen.

That story in just a moment.

But first, now in the news.

An employee of an Islamic school near Karachi, Pakistan was killed by a remote-controlled bomb. That explosion tore apart a minivan filled with teachers and workers on their way to school. Police believe the vehicle was the intended target. Seven others in the vehicle were wounded.

In the Middle East, the governor's offices in southern Gaza was taken over a short time ago by armed militants. This action poses a new challenge to the authority of Yasser Arafat. Among other things, the militants are demanding the Palestinian leader remove his cousin as the newly appointed security chief.

The mother of a young pregnant woman missing since Monday in Salt Lake City says she and her son-in-law cried and embraced when she visited him at a psychiatric hospital. Mark Hacking has been at the hospital since Tuesday, one day after he reported that his wife Lori failed to come home from her morning jog.

GRIFFIN: Developing stories in Iraq overnight, another American has died and militants are now taking more hostages, as life goes on there.

We go to Michael Holmes, who's following the developments from Baghdad today -- hello, Michael.

MICHAEL HOLMES, CNN CORRESPONDENT: Good morning to you, Drew.

That's right, the hostage taking seems to be going on and on every day. What happened this day was a kidnapping of the head of a Iraqi-owned construction company. He is an Iraqi himself. He was kidnapped in Baghdad today, Saturday, according to the interior ministry.

Here's what we know so far. Men riding in two cars snatched him off the streets. Raad Adnan, he's the general director of Al-Mansour Contracting Company, which carries out construction contracts for Iraqi government ministries.

According to the ministry, kidnappers in cars blocked his car and took him out and took him away.

Now, the other high value hostage that you mentioned earlier is the number three ranking man in the Egyptian embassy here in Baghdad. His name is Mamdouh Qutb. Now, according to the Egyptian embassy in Kuwait -- we've been speaking with them -- they say that they are co- leading a diplomatic drive to have him released by the Lion of God Brigades, who are holding him. And we've seen him in these videos that have been released.

The embassy says that the deadline for him has been extended. Now, he didn't say by how long. He said I wouldn't worry much about days or hours. There are ongoing negotiations. This from the Egyptian embassy in Kuwait. And we were told we hope there will be a positive conclusion. And he said that he felt very optimistic about it.

Now, to the other hostages, that is, the seven hostages being held by another group, called The Black Banners. New demands have been released for them that their Kuwaiti Gulf and Transportation Company, KGL, their employers, that they pay the families of those killed in Fallujah back in April compensation and that all American prisoners held in American jails be released. Now, this came from a videotape released to news organizations overnight.

So as you can see, this hostage drama just keeps on going. New hostages, it seems, every day. And the deadline for those seven hostages, the first of whom was said to be beheaded by the deadline of 8:00 p.m. this evening. Now, that is just over four hours from now -- Drew.

GRIFFIN: Michael, the Lion of God Brigade, what do we know about this group? Are they political or is this the criminal element in Iraq?

HOLMES: Essentially we know nothing about them at all. This is the interesting thing. These new groups keep popping up all the time. The Lion of God Brigades is a whole new element to this. In terms of whether they are political or criminal, that's the big debate that's going on here in Iraq, in government circles and also in security circles. A lot of these hostages are targets of opportunity picked up by, essentially, criminal gangs. And then what happens is if a ransom isn't paid or they don't get some sort of consideration for their time, if you like, those hostages are then passed up the chain and can end up, as we have seen before, in the hands of the true insurgents.

But a lot of it does seem to be criminal, at least at its origin -- Drew.

GRIFFIN: All right, Michael, we're trying to follow this developing story on two fronts there.

We thank you for that, Michael.

Also in Iraq a short time ago, an assassination attempt against an official with the interior ministry. Two bodyguards killed when gunmen opened fire on his two car convoy. That was south of Baghdad. The official, however, was not injured.

NGUYEN: The Saudi government had a plan for dealing with terrorism -- offer leniency to terror suspects who surrender. Now, officials say it appears to have yielded results.

Nic Robertson reports from Riyadh.

(BEGIN VIDEOTAPE)

NIC ROBERTSON, CNN CORRESPONDENT (voice-over): The biggest get of the Saudi offer of leniency, a surprise catch -- big fish Khaled al-Harbi, a cripple and close friend of Osama bin Laden, who turned himself over in Tehran. But it was the small fry al Qaeda foot soldiers that Saudi officials had hoped to land.

NAWAF OBAID, SAUDI NATIONAL SECURITY CONSULTANT: Those young recruits have very specific characteristics. They don't have a lot of training. They're very ill experienced and in a way are very easily controlled.

ROBERTSON: But as the 30-day offer of leniency progressed following the killing of al Qaeda leader Abul Aziz al-Muqrin in mid- June, Saudi authorities have been revising their assessment of the terror group.

OBAID: There isn't a huge amount of young recruits that was initially believed. That's not the case. And more importantly, the ones that have turned themselves in have provided enough information to go after the safe houses and the existing infrastructure.

ROBERTSON: As a direct result, security forces were able to target an al Qaeda safe house in Riyadh three days ago, yielding much weaponry and the head of U.S. helicopter technician Paul Johnson, murdered over a month ago.

Indeed, during the leniency, there have been three major shootouts with al Qaeda, Saudi officials say, resulting in the deaths of at least four of their members and the capture of many more.

(on camera): That's the same number of big name al Qaeda members that have turned themselves in so far, along with dozens of other sympathizers. And although the offer of leniency is technically over and will not be extended, negotiations are ongoing with a number of people on Saudi Arabia's most wanted list, including the current al Qaeda leader.

Nic Robertson, CNN, Riyadh, Saudi Arabia.

(END VIDEOTAPE)

GRIFFIN: If you didn't have time to keep up with all the news this week, we can help get you up to speed as we rewind.

Former Clinton aide Sandy Berger says he deeply regrets making an honest mistake, what he calls, in removing top secret documents from the National Archives. It was revealed this week he is being investigated for allegedly taking the documents as he prepared to testify before the commission investigating the 9/11 attacks. Berger also stepped down as a foreign policy adviser to Senator John Kerry's presidential campaign.

On Thursday, the 9/11 Commission released its final report. The document cites multiple failures in national intelligence that contributed to the terrorist attacks. It avoids placing specific blame on either the Bush or Clinton administrations.

Included in that report, the story of the passengers aboard United Flight 93. The panel says the passengers' actions saved the lives of countless others. The report included a chilling transcript of the words of one of the hijackers aboard the flight. It details the actions of the passengers who tried to storm that plane's cockpit, causing the hijackers to give up their plan to fly to Washington and instead slam the plane into a field in Pennsylvania.

Tomorrow, we'll fast forward to the big week ahead. And it is a big one with the convention. And we'll tell you which stories will likely grab the spotlight there.

NGUYEN: Millions of Americans suffer from the often debilitating Alzheimer's Disease. And coming up at 8:30 Eastern this morning, House Call with Holly Firfer looks at treatments that offer new hope for victims.

Then at 9:00 Eastern, a man who spent nearly three decades with the CIA gives us an insider's analysis of the 9/11 Commission report, answering the tough questions, at 9:00 Eastern.

Plus, we are going live to Boston, where the confetti, balloons and patriotic banners are ready and waiting for the Democrats to coronate their candidate at next week's convention.

But first, never in history has so much money been spent on security for the Olympic Games. And the hefty price tag does not stop there. The Olympic money game in just a few minutes, right here on "CNN SATURDAY MORNING."

(COMMERCIAL BREAK)

NGUYEN: Cyclist Lance Armstrong lost the 18th stage of the Tour de France, but he is still in the lead. The U.S. Postal Service's easy rider takes a four minute, nine second lead into today's individual time trial. There's only one more stage after that. The Tour ends tomorrow in Paris and Armstrong is vying for an unprecedented sixth straight victory.

GRIFFIN: Which brings us to this question -- is it the bike or the biker that makes all the difference in a distance race like this?

Steve Overmyer found a case can be made for both.

(BEGIN VIDEOTAPE)

STEVE OVERMYER, CNN CORRESPONDENT (voice-over): Year after year, Tour de France victory celebrations along the Champs d'Elysees in Paris have been focused on one man -- Lance Armstrong. Lance's legs have proven to be as strong as his desire to endure the world's most grueling bicycle race six years in a row. But even his mighty U.S. Postal team needs some help from technology along the way. SHANNON HUTCHISON, PROFESSIONAL CYCLIST: There's all sorts of things. They'll do wind tunnel tests. They're going to use the lightest materials. There's carbon fiber, titanium, aluminums.

PETER WICKER, OWNER, OUTBACK BIKES: This is a limited edition Lance Armstrong bike. This is number 29 of 500 that were made.

OVERMYER: From trick arrow handlebars and helmets to special frames and wheels, bike companies are doing whatever they can to keep their teams ahead.

WICKER: I think if you level the playing field, you see that technology does make a difference. You know, the strong houses of Postal, T-Mobile, some of these larger teams that have technology $5,000 to $10,000 time trial bikes.

OVERMYER: And much of the same ultra light materials tech fans see in the Tour de France ends up in their local bike shop.

WICKER: This bike is a full titanium Bianci bike, actually, the same bike Juan Perri (ph) rode. It's in the tour right now, ridden by the Alesio Bianchi team.

Pro, which uses the Zertz technology which, if you look here, has the elastic inserts which are molded into the carbon, which absorb shock. A lot of these bikes, they do incorporate high end technology, which, it's costly. The titanium is aerospace grade titanium. It's what they use in satellites.

OVERMYER: Beyond the bikes themselves, teams make use of devices like ear pieces for communication between riders and team managers; and tiny computers that monitor everything from bike functions to altitude, speed, distance, cadence and even power output. All of the information is then downloadable.

UNIDENTIFIED MALE: You can take that with infrared or a USB port and download your workout that they're doing in the Tour. They keep track every day a diary of what they've done.

OVERMYER: Although team managers know these gadgets certainly help, professional racers say training and discipline are still what drives them.

HUTCHISON: At this level, training supplements taking care of yourself, making sure you're rested and recovered. A race of that magnitude, you definitely have to be focused on what you're doing.

OVERMYER: Focus certainly doesn't seem to be a problem for the U.S. Postal team. And with a little help from technology, Lance Armstrong's run may not yet be finished.

Steve Overmyer, CNN.

(END VIDEOTAPE)

NGUYEN: Technology and money. I understand the Postal Service is spending somewhere around $8 million on the Tour de France.

GRIFFIN: That's a lot of stamps, Betty.

NGUYEN: Yes, that is a lot of stamps.

Well, speaking of sports, unprecedented security is planned for this year's Olympic Games in Athens.

GRIFFIN: Yes, but will that leave the event financially in the red?

Rick Horrow will join us to go beyond the game. That's when "CNN SATURDAY MORNING" continues.

(COMMERCIAL BREAK)

NGUYEN: Thirty-two years ago, at the 1972 Summer Olympics in Munich, the Palestinian group Black September killed 11 Israeli athletes. Then, in 1996 here in Atlanta, a bomb exploded in Centennial Olympic Park, killing one woman. Now the fear of another act of terrorism sparks a $1.2 billion security commitment for the Summer Games in Athens next month. It is the most money spent in Olympic history. That's because U.S. intelligence indicates al Qaeda has at least the desire, if not the intent, to disrupt international events like the Olympics.

And the games in Athens begin on Friday, the 13th of August.

What will set this Olympics apart from the games in Athens some 3,000 years ago? The money being spent to keep athletes and fans safe.

Rick Horrow is a CNN sports business analyst.

He's the author of "When the Game Is On the Line."

He joins us this morning from West Palm Beach, Florida.

Good morning to you.

RICK HORROW, SPORTS BUSINESS ANALYST: It's beautiful down here this morning. Get some golf in.

NGUYEN: Oh, I bet it is wonderful.

Speaking of sports, let's talk about these games. And we'll discuss security in just a moment.

But first, are some of these venues still under construction?

HORROW: Well, you know, the fad conversation of the past few years, Betty, was to talk about how these facilities wouldn't be ready. And the worst winter in Greek history, they said, and the change of government and the IOC imposed deadline caused some concern. But they were about 90 percent finished by April. And if you consider an 18,000 ton roof on the main venue not being ready as a concern, yes, I guess that's a problem. But that's dramatic. That's not functional.

The real issue is the 125 miles of roads, the untested transportation system. It's supposed to transport 1.2 million people. And, you know, the bottom line is some say Athens is a 500,000 person city that five million people live in. And, of course, the worst blackout in history doesn't help matters, a couple of weeks ago. Some people are concerned the lights are going to go out on the games themselves, as well.

NGUYEN: Rick, a lot of money and effort has been spent on security. This country's over budget because of it. Greece is over budget and what's being done to help that situation? Because tickets aren't really selling like they should be.

HORROW: Well, look, there's over budget then there's over budget. They're $1.8 billion over budget. That's a heck of a shopping trip in any context. The problem is you've got to make up revenue from somewhere. And of the 5.3 million tickets they've got to distribute, they've only sold 1.9 million. At the time last Olympics, Sydney sold over half during that time.

So they've got to rely on some luck. They've got to rely on good weather, some promotional activities. And, by the way, when Greece won the European soccer cup a couple of weeks ago, people were saying that's going to give the fans pause to go buy those tickets. We're just going to have to see as we get closer to Friday the 13th of August.

NGUYEN: So what does this mean for investors who are hoping the profit off of these games?

HORROW: Well, the investors are really the corporations and television. You know, the corporations are a billion dollar investors in these facilities and the Olympics. It's the bedrock of the games. And companies like Visa and Coke are old reliable. They're going to bring 1,200 people for their hospitality. Others we're not so sure.

The other issue is the television, NBC rights. By the way, they paid three quarters of a billion dollars for the rights and they're going to get that back in advertising, especially with 1,200 hours of programming -- Bravo, Telemundo and their other networks. They have to get younger, the viewers, and they've got a $30 million ad campaign to do that.

But, by the way, when CBS bought the rights to the Squaw Valley Olympics in '60, guess how much?

NGUYEN: How much?

HORROW: Fifty thousand dollars.

NGUYEN: That's it?

HORROW: We've gone a long way there.

NGUYEN: Oh, yes we have. HORROW: We've got to recoup the investment.

NGUYEN: All right, Rick Horrow, CNN sports business analyst.

Thank you very much.

HORROW: See you next week.

GRIFFIN: All right, you guys, hitting the slopes on something that looks like snow but isn't. What it is is one of our Wows of the Week, straight ahead.

(COMMERCIAL BREAK)

NGUYEN: Welcome back on this Saturday.

I'm Betty Nguyen.

Here's a look at our top stories.

Congress will take steps to act on recommendations of the 9/11 Commission despite being on summer recess. Both House and Senate leaders promise an unusual round of hearings in August on proposed reforms.

And in Iraq, a U.S. Marine has died from wounds he sustained yesterday during a security operation in the Al Anbar Province. That is west of Baghdad.

(WEATHER REPORT)

GRIFFIN: We're going to move on to our Wows of the Week, stories so unusual, we thought we'd give you a second look at them.

First up, all downhill from here. A sandy knob outside Moscow the hottest spot for skiers who refuse to put away their skis. Falling is like hitting sandpaper they say. Hmmm. But there's a nice refreshing dip and there it is waiting at the end of the run.

And these flowers not only look great, Betty, and smell lovely, they sound good, too. A Japanese company has found a way to turn fresh flowers into stereo speakers. I'm not sure why. But a device called a flower speaker amplifier is inserted at the bottom of a flower pot.

And finally, don't cast your pearls before swine, but feel free to leave them in a New York City cab. A Connecticut man says he left a backpack full of thousands of dollars worth of black pearls in a cab after a few too many cocktails. But driver Nestor Sulpico said he couldn't live with himself if he kept the loot. The driver did keep the reward of $500.

NGUYEN: That is one honest cabby there.

GRIFFIN: Yes. NGUYEN: Well, of course, we want to remind you of our e-mail Question of the Day. Are you concerned about another al Qaeda attack in the U.S.? E-mail us your response at wam@cnn.com. We'll read them on the air.

GRIFFIN: The next hour of "CNN SATURDAY MORNING" begins right now.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com


Aired July 24, 2004 - 07:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
DREW GRIFFIN, CNN ANCHOR: From the CNN Center in Atlanta, this is "CNN SATURDAY MORNING."
It's July 24.

And good morning to you.

I'm Drew Griffin.

BETTY NGUYEN, CNN ANCHOR: And I'm Betty Nguyen.

Thanks so much for being with us this morning.

Here's what's coming up this hour.

Boston braces for the Democrats. The four day convention is the scene of extraordinary security and officials warn the news media to be on guard, as well. We'll have a live report.

Plus, terrorism is also very much on the minds of Olympics organizers in Athens, Greece and they have the huge bills to prove it. Sports business analyst Rick Horrow will join us to talk about the financial strain that security has placed on the Games.

And a little bit later, falling to Earth more than 100 miles per hour is one way to blow out your birthday candles. I can't wait to see what this guy does next year, when he turns 94.

That and much, much more.

But first, the news.

GRIFFIN: A U.S. military has died of wounds suffered yesterday during operations in the al-Anbar Province. That's west of Baghdad. Details of the incident not available. The death toll brings the U.S. toll in Iraq to 907.

A high ranking Egyptian diplomat has been taken hostage in Iraq, seized by masked gunmen Friday after leaving the embassy in Baghdad to go to a mosque.

Also in the Iraqi capital this morning, gunmen kidnapped the director of a government owned construction company. Police say the man was snatched from his car as he drove through the city there.

Near Karachi, Pakistan this morning, a remote-controlled bomb ripped through a minivan carrying teachers and other workers from an Islamic school. Amazingly, just one person was killed, but eight were injured, including a person in another vehicle that crashed into the wreckage.

Keeping you informed, this is CNN, the most trusted name in news.

NGUYEN: Our top story now.

The report of the 9/11 Commission has sparked a sense of urgency in Washington and across the nation. But can that be translated into action or will the report gather dust as officials lapse into business and politics as usual?

CNN's Sean Callebs gauged the mood as law makers went on break.

(BEGIN VIDEOTAPE)

SEAN CALLEBS, CNN CORRESPONDENT (voice-over): As Congress headed out of town for a six week recess, signals that for some the vacation will be cut short. Senate leaders from both parties announcing rare August hearings.

SEN. JOSEPH LIEBERMAN (D), CONNECTICUT: You know, I think when members of both houses go home for this recess, the folks back home are going to say why are you home? Why aren't you in Washington dealing with the recommendations of the southern Iraq?

CALLEBS: Senators say they want to have legislation crafted by October 1 so law makers can vote on sweeping national intelligence reforms. The 9/11 findings are now a best seller, hot off the presses and a hot topic among Americans who are issuing a call for action.

In Chicago...

UNIDENTIFIED MALE: As soon as they can. I mean I think you can't wait any longer.

CALLEBS: And in New York...

UNIDENTIFIED MALE: We're in a life or death situation right now, especially in this town.

CALLEBS: 9/11 families are buoyed by the sense of urgency, but concerned the capital will lapse into politics as usual.

BEVERLY ECKERT, WIFE OF 9/11 VICTIM: You know, I'm not in charge. All I can do is, you know, demand high standards and look to Washington to implement these reforms and try to make this country safer.

CALLEBS: Some House Democrats have accused Republican Speaker Hastert of digging in his heels instead of digging into the panel's call for reform. In response, Hastert and Majority Leader Tom DeLay issued a statement saying: "Congress needs to act as quickly as possible," calling for August hearings, as well. They want a proposal on the floor before Congress adjourns in October. At the White House, too, promises for a quick, thorough review. A White House official saying the president directed the chief of staff, Andrew Card, to head a task force involving members of the homeland security team and national security team to review recommendations and report back to him soon, saying, "We are not talking weeks."

(on camera): Commission members have said the presidential election and congressional break aren't reasons to derail efforts to overhaul the way the U.S. gathers and disseminates intelligence. Senator Lieberman saying the United States is dealing with a crisis that "people died and more people will unless we get it together."

Sean Callebs, CNN, Washington.

(END VIDEOTAPE)

NGUYEN: Senator John Rockefeller wants President Bush to nominate a new CIA director and as soon as possible. Rockefeller is the ranking Democrat on the Senate Intelligence Committee. Earlier this month, that committee issued a comprehensive report blasting the CIA. Rockefeller has sent President Bush a letter saying a CIA director is needed and now. He said that person must help correct serious systematic weaknesses across the intelligence community.

Also this morning, two Democratic senators are questioning whether the White House served as a travel agent for Osama bin Laden's family after the September 11 attacks. A chartered plane that's sometimes used by the press corps during presidential trips took 13 members of bin Laden's family out of the country about a week after the terror attacks.

Senators Frank Lautenberg and Charles Schumer want to know whether the White House arranged that flight. There's no comment from the White House travel office.

GRIFFIN: Once again a warning, short on specifics, but the current warning of an attack on the United States is being taken seriously. Some people familiar with the situation expect the nation's terror alert level to be raised.

Details now from justice correspondent Kelli Arena.

(BEGIN VIDEOTAPE)

KELLI ARENA, CNN CORRESPONDENT (voice-over): It's more than just chatter. Senior intelligence officials say they have credible and fairly specific information that al Qaeda is poised to attack. It's just not specific enough.

TOM RIDGE, HOMELAND SECURITY SECRETARY: Although we know not the time and the place and the method, credible reports indicate that al Qaeda is moving forward with its plans to carry out a large scale attack against the United States.

ARENA: Officials say al Qaeda members captured recently in countries including Saudi Arabia, Pakistan and Afghanistan have provided information an attack is being coordinated, some say by Osama bin Laden himself. The information isn't just coming from detainees, but from multiple sources. And it's consistent.

RICHARD FALKENRATH, FORMER WHITE HOUSE ADVISER: This is different. This is more serious, more specific and more centrally led than anything that we've seen in a long time. And hence it's being taken very seriously. I would not be surprised in the least if the government decides to raise the national threat level to orange.

ARENA: Officials say the threat is just as serious as it was in the summer of 2001, just before the attack on September 11. And while al Qaeda is plotting, the Madrid bombings show just how dangerous splinter groups can be. They have no direct connection to al Qaeda, but share their ideologically.

FALKENRATH: And the most likely source -- forms of attack, I think, will be relatively small conventional explosives set off in multiple sites simultaneously. This is a proven al Qaeda M.O.

ARENA: FBI agents continue their search for clues and people. This week, the FBI asked authorities in Mexico to be on the lookout for alleged al Qaeda operative Adnan El Shukrijumah. Officials very concerned about the porous Mexican border.

An even bigger fear, that there is a cell already in the United States that has been in place even before September 11.

KEN PIERNIK, COUNTER-TERRORISM EXPERT: You just don't decide at a moment's notice to conduct a major operation. You have to do your target selection, which sometimes takes years.

ARENA (on camera): But law enforcement sources say there is nothing specific on that front either.

Kelli Arena, CNN, Washington.

(END VIDEOTAPE)

GRIFFIN: That brings us to our e-mail Question of the Day. Are you concerned about another al Qaeda attack in the United States? You can e-mail us now at wam@cnn.com and we'll be happy to read your responses throughout the program.

NGUYEN: The husband of a missing pregnant woman in Utah has the support of his family and his in-laws. Lori Hacking's mother says she met with her son-in-law at a psychiatric hospital. She told CNN's Larry King the family was shocked to learn that Mark Hacking had lied about graduating from college and attending medical school.

(BEGIN VIDEO CLIP FROM CNN'S "LARRY KING LIVE")

LARRY KING, HOST: What do you make of it?

THELMA SOARES, LORI HACKING'S MOTHER: I have more questions than you do, Larry, and I have no answers. We're trying, you know, little by little, we're trying to put the pieces of the puzzle together. And I hope some time in the future we'll be able to understand this. We all lived this with him. His own mother and father lived it with him.

KING: Yes.

SOARES: It's just totally incredible. It's still hard for me to believe that I'm even saying that it's true.

(END VIDEO CLIP)

NGUYEN: Police are calling Hacking a person of interest in his wife's disappearance. Lori Hacking has been missing since Monday.

GRIFFIN: Other stories across America, the Colorado judge in the Kobe Bryant case says the sexual history of the woman accusing Mr. Bryant of rape can be admitted in court. Defense attorneys say the woman did have sex at least two -- with two other men within days of her encounter with the Los Angeles Lakers guard.

A highly specialized Air Force combat rescue unit and the coast Guard worked together to save a fisherman off the Virgin Islands. A Chinese fisherman was injured while working on a tuna boat. The Air Force unit has been in Iraq, but it's stateside now on a break, and had time for this mission of mercy.

Firefighters finally have the upper hand in the latest blaze to threaten southern California. Forestry officials say the onslaught of the blazes is unprecedented this early in the fire season. They may be forced to shut down some national park areas. In just the past week, nearly 50,000 acres have been charred in California.

NGUYEN: Well, Beantown's gearing up for the Democratic national convention, expected to make John Kerry and John Edwards campaign the ticket toppers. A DNC preview just ahead.

GRIFFIN: Plus, the Tour de France. Lance Armstrong may have the right stuff to win, but there's some technology helping him along, when "CNN SATURDAY MORNING" returns.

(COMMERCIAL BREAK)

GRIFFIN: John Kerry's trek to the Democratic national convention takes him to the nation's heartland today. The soon to be Democratic nominee will be joined by his family in Sioux City, Iowa. The visit part of a seven day trip Kerry is making from his birthplace in Colorado to the convention next week in Boston. Kerry's running mate, John Edwards, holds a rally in Milwaukee, Wisconsin today, after attending a Democratic fund-raiser there last night.

A lot of this is scripted, just ready to roll on into Boston. CNN already there, as are many journalists. Thousands of delegates are going to pack Boston's Fleet Center, as the convention kicks off. That happens on Monday.

Since Kerry has already picked Edwards as his running mate, can we expect any surprises, any excitement at all? And will there be a lot of interest in the convention or not?

Well, joining us to talk about it is Terence Samuel, the chief congressional correspondent of "U.S. News & World Report."

Terence, thanks a lot.

It seems like every four years we go through this question. Why do we even have these conventions, since it's a foregone conclusion that Mr. Kerry is going to be nominated?

TERENCE SAMUEL, "U.S. NEWS & WORLD REPORT": It's like watching a game that you know the score of on TiVo. You know what's going to happen, but you watch it anyway. I think a lot of what's happening here, certainly for Kerry, is a chance for him to introduce himself to the American people in a way that doesn't happen any other place except on the convention floor.

Even though he's been running for president for a long time, a lot of Americans still don't know who he is, what he stands for and this is a moment for him to stand there and stand and deliver, so to speak; a chance for the American people to size him up and decide whether he's up for the job or not.

GRIFFIN: And even though he has the nomination wrapped up and this whole thing is scripted, there is a lot yet to lose in this for Mr. Kerry if he doesn't come out of this convention with a significant bounce or significant energy, which really has been lacking in his campaign.

SAMUEL: Well, he's said clearly that the speech is not make or break. But a lot of these races get decided right about now. Like I said, I think a lot of people will get their first chance to decide is this guy up to the job, is he in command, is he somebody that I want to listen to and have in my living room for the next four years.

The bounce question is an interesting one. We saw a small bounce after the Edwards pick and we've been talking about how different this race is, that it started much earlier, that the general election began in March, after Kerry pretty much wrapped up the nomination. But I think we're back to where we are traditionally, which is we won't know until after Labor Day, after the Republican convention, how this thing is actually shaking out in terms of who gets a bounce and who's last and who can carry on into the fall.

GRIFFIN: Terence, if you look at the lineup, especially the prime time lineup, it is liberally filled. The speakers are to the left of the moderates in this party, as opposed to the Republican convention, which seems to be going more moderate in its prime time speakers.

Is that a mistake or is the Democratic Party going to its strength and thinking it can win without the moderate vote?

SAMUEL: I think they're playing to their strength and they're playing to their base. But there is another dynamic at work here, which is there is no argument in the party about how to proceed. The liberals, the Democrats -- the progressives, the right-wing, the conservative Democrats, everybody's on the same page in terms of who they want in the White House, or, more importantly, who they don't want in the White House next January. And as a result, I don't think you're going to see a lot of fire breathing liberal rhetoric on the floor of the convention.

GRIFFIN: Yes, it's definitely one unifying position, which is get rid of Bush at any cost.

SAMUEL: That's pretty much what it means to be a Democrat these days.

GRIFFIN: Is that what -- is that all it's going to take to win?

SAMUEL: That's certainly not all it's going to take. I think John Kerry needs to finally, on Thursday, lay out a vision for what his America will be. And that vision, by necessity, needs to be optimistic. It needs to be clear. It needs to be accessible. And it needs to feel real to people. And I think once he does that, if he does that, we could be in for a pretty interesting contest.

GRIFFIN: Well, you're in for an interesting week.

Terence Samuel, chief congressional correspondent with "U.S. News & World Report."

Thanks for joining us this morning.

Of course, we will have much more on the convention throughout the weekend, and that includes a special Talk To CNN morning on "CNN SUNDAY MORNING." That's coming up at 9:00 tomorrow. We'll take you live to Boston, where the "CAPITAL GANG" is going to answer your e- mail questions. That is tomorrow on "CNN SUNDAY MORNING" at 9:00 Eastern -- Betty.

NGUYEN: There is a first time for everything, Drew, even when you're 93 years old. Yes, Ottist Murdock's leap of faith, when "CNN SATURDAY MORNING" continues.

(COMMERCIAL BREAK)

NGUYEN: Well, as you just saw there, movie selections this weekend include an action drama and a thriller. So if you're in the mood for either one, here is a preview.

(BEGIN VIDEO CLIP FROM "THE BOURNE SUPREMACY," COURTESY UNIVERSAL PICTURES)

UNIDENTIFIED MALE: What were my words? What did I say? (UNINTELLIGIBLE)?

UNIDENTIFIED FEMALE: I did. I swear. Jason, I told them that I believed you.

UNIDENTIFIED MALE: I'm going to ask him some simple questions.

UNIDENTIFIED MALE: Delta, give me something. I need something.

UNIDENTIFIED MALE: They're on it.

UNIDENTIFIED MALE: They're on it.

(END VIDEO CLIP)

NGUYEN: In the sequel to "The Bourne Identity," the United States and China are at the brink of war. The vice premier of China has been assassinated during his visit to America and the evidence points to, of course, Jason Bourne. Now, CIA agent David Webb sets out to discover who stole his false identity. The "Chicago Tribune" calls "The Bourne Supremacy" "a close to perfect example of an expertly designed and executed thriller."

(VIDEO CLIP FROM CATWOMAN, COURTESY WARNER BROTHERS)

NGUYEN: Oh, yes, for all you men out there, meet Patience Philips, who used to be a shy, unglamorous graphic designer at a cosmetics company. But in a mystical twist of fate, she is reborn as Catwoman, with strength, speed and feline intuition. Things become complicated, though, when a cop responsible for catching the Catwoman, of course, falls in love with her. Critics are less than thrilled about this one. The "New York Post" calls it "a purrfectly ridiculous and boring catastrophe." Not good at all.

GRIFFIN: And checking our top stories now, Betty, a U.S. Marine has died from wounds he suffered in action west of Baghdad. Officials say he was conducting a security and stability operation. That's all we know. It happened in the Al Anbar Province.

An Egyptian diplomat has been taken hostage in Iraq. A videotape showing the official surrounded by masked gunmen here. And also this morning, news that the head of a government owned construction company has also been taken captive in Baghdad.

And the mother of a missing Utah woman says she supports her son- in-law. Lori Hacking's mother, visiting Mark Hacking in a psychiatric hospital. He's been a patient there since the day after his pregnant wife went missing.

NGUYEN: Well, most people in their 90s are content just waking up in the morning, not to mention deciding to jump out of a plane. But one hardy soul decided at 93 he waited long enough and took the plunge to celebrate his birthday.

Barry Carpenter of affiliate KDAF has his story.

(BEGIN VIDEOTAPE)

OTTIST MURDOCK, SKYDIVER: OK. I thought you were supposed to hold them like that.

BARRY CARPENTER, KDAF CORRESPONDENT (voice-over): Ninety-three- year-old Ottist Murdock took a crash course in skydiving, then zipped up... UNIDENTIFIED MALE: How does that feel?

MURDOCK: Good.

CARPENTER: ... and buckled down for the ride of his life. He's wanted to skydive for 30 years.

MURDOCK: Well, yes, if I'd have found a place before then, I'd have done it. But, well, I didn't know this place existed.

CARPENTER: He wanted to when he served in the National Guard, before World War 2.

MURDOCK: Learn how to jump. In fact, there was a horse drawn artillery by then. They didn't hardly have the airplane.

There's two.

CARPENTER: Ottist's friends from the Mason Lodge knew about his urge to skydive, but didn't think too much about it. That is, until they saw former President George Bush skydive on his 80th birthday. They surprised him by springing for the jump and Ottist jumped at the chance.

UNIDENTIFIED MALE: No hesitation. Absolutely. I'm ready to go. And we couldn't be prouder of him.

CARPENTER: Family members aren't surprised. After all, this is the man who just a few years ago wanted to ride a pack mule to the bottom of the Grand Canyon.

(on camera): When Murdock was 75 years old, he soloed his first plane flight. Now, at 93 years of age, the sky is once again the limit.

(voice-over): After years of waiting, it was finally time to jump. Freefalling at 120 miles an hour then floating like a butterfly while family and friends below watched. It was icing on the birthday cake of life.

MURDOCK: Oh, it was wonderful, just wonderful. I just made one mistake and opened my mouth, but I didn't hurt anything.

CARPENTER (on camera): This is your 93rd birthday. You're jumping out of an airplane. What are you going to do for your 94th birthday?

MURDOCK: I'm going to be back right over here.

UNIDENTIFIED MALE: Yes!

CARPENTER (voice-over): In Dallas...

MURDOCK: I don't know how to describe it, but it's -- it's a good deal.

CARPENTER: ... Barry Carpenter for CNN.

(END VIDEOTAPE)

NGUYEN: Definitely a good deal. And happy birthday, Ottist. You go, big guy. It looks like fun, although I don't think I could ever do that, ever.

JACQUI JERAS, CNN METEOROLOGIST: Did you see him waving?

NGUYEN: Yes.

JERAS: He was like kind of waving as he was going down.

GRIFFIN: His mouth is open. How can you keep your mouth shut?

JERAS: Was that voluntary?

GRIFFIN: Well, you're supposed to keep it shut.

JERAS: Really?

GRIFFIN: I guess in case there's any flies.

NGUYEN: Or birds come by.

JERAS: Have you guys tried that? Ever?

GRIFFIN: No.

JERAS: No? Never would.

NGUYEN: I'm not planning to.

JERAS: Right.

NGUYEN: How about you?

GRIFFIN: Only in an emergency.

NGUYEN: Yes.

JERAS: Exactly. When necessary.

(WEATHER REPORT)

GRIFFIN: More hostages taken in Iraq. We're going to go live to Baghdad for an update on that.

NGUYEN: Plus, tour technology -- it's not just the crowds who keep the bikers peddling at the Tour de France. We'll show you.

"CNN SATURDAY MORNING" will be right back.

(COMMERCIAL BREAK)

GRIFFIN: A kidnapping in Iraq. This time a high value hostage taken there.

Welcome back.

I'm Drew Griffin.

NGUYEN: And I'm Betty Nguyen.

That story in just a moment.

But first, now in the news.

An employee of an Islamic school near Karachi, Pakistan was killed by a remote-controlled bomb. That explosion tore apart a minivan filled with teachers and workers on their way to school. Police believe the vehicle was the intended target. Seven others in the vehicle were wounded.

In the Middle East, the governor's offices in southern Gaza was taken over a short time ago by armed militants. This action poses a new challenge to the authority of Yasser Arafat. Among other things, the militants are demanding the Palestinian leader remove his cousin as the newly appointed security chief.

The mother of a young pregnant woman missing since Monday in Salt Lake City says she and her son-in-law cried and embraced when she visited him at a psychiatric hospital. Mark Hacking has been at the hospital since Tuesday, one day after he reported that his wife Lori failed to come home from her morning jog.

GRIFFIN: Developing stories in Iraq overnight, another American has died and militants are now taking more hostages, as life goes on there.

We go to Michael Holmes, who's following the developments from Baghdad today -- hello, Michael.

MICHAEL HOLMES, CNN CORRESPONDENT: Good morning to you, Drew.

That's right, the hostage taking seems to be going on and on every day. What happened this day was a kidnapping of the head of a Iraqi-owned construction company. He is an Iraqi himself. He was kidnapped in Baghdad today, Saturday, according to the interior ministry.

Here's what we know so far. Men riding in two cars snatched him off the streets. Raad Adnan, he's the general director of Al-Mansour Contracting Company, which carries out construction contracts for Iraqi government ministries.

According to the ministry, kidnappers in cars blocked his car and took him out and took him away.

Now, the other high value hostage that you mentioned earlier is the number three ranking man in the Egyptian embassy here in Baghdad. His name is Mamdouh Qutb. Now, according to the Egyptian embassy in Kuwait -- we've been speaking with them -- they say that they are co- leading a diplomatic drive to have him released by the Lion of God Brigades, who are holding him. And we've seen him in these videos that have been released.

The embassy says that the deadline for him has been extended. Now, he didn't say by how long. He said I wouldn't worry much about days or hours. There are ongoing negotiations. This from the Egyptian embassy in Kuwait. And we were told we hope there will be a positive conclusion. And he said that he felt very optimistic about it.

Now, to the other hostages, that is, the seven hostages being held by another group, called The Black Banners. New demands have been released for them that their Kuwaiti Gulf and Transportation Company, KGL, their employers, that they pay the families of those killed in Fallujah back in April compensation and that all American prisoners held in American jails be released. Now, this came from a videotape released to news organizations overnight.

So as you can see, this hostage drama just keeps on going. New hostages, it seems, every day. And the deadline for those seven hostages, the first of whom was said to be beheaded by the deadline of 8:00 p.m. this evening. Now, that is just over four hours from now -- Drew.

GRIFFIN: Michael, the Lion of God Brigade, what do we know about this group? Are they political or is this the criminal element in Iraq?

HOLMES: Essentially we know nothing about them at all. This is the interesting thing. These new groups keep popping up all the time. The Lion of God Brigades is a whole new element to this. In terms of whether they are political or criminal, that's the big debate that's going on here in Iraq, in government circles and also in security circles. A lot of these hostages are targets of opportunity picked up by, essentially, criminal gangs. And then what happens is if a ransom isn't paid or they don't get some sort of consideration for their time, if you like, those hostages are then passed up the chain and can end up, as we have seen before, in the hands of the true insurgents.

But a lot of it does seem to be criminal, at least at its origin -- Drew.

GRIFFIN: All right, Michael, we're trying to follow this developing story on two fronts there.

We thank you for that, Michael.

Also in Iraq a short time ago, an assassination attempt against an official with the interior ministry. Two bodyguards killed when gunmen opened fire on his two car convoy. That was south of Baghdad. The official, however, was not injured.

NGUYEN: The Saudi government had a plan for dealing with terrorism -- offer leniency to terror suspects who surrender. Now, officials say it appears to have yielded results.

Nic Robertson reports from Riyadh.

(BEGIN VIDEOTAPE)

NIC ROBERTSON, CNN CORRESPONDENT (voice-over): The biggest get of the Saudi offer of leniency, a surprise catch -- big fish Khaled al-Harbi, a cripple and close friend of Osama bin Laden, who turned himself over in Tehran. But it was the small fry al Qaeda foot soldiers that Saudi officials had hoped to land.

NAWAF OBAID, SAUDI NATIONAL SECURITY CONSULTANT: Those young recruits have very specific characteristics. They don't have a lot of training. They're very ill experienced and in a way are very easily controlled.

ROBERTSON: But as the 30-day offer of leniency progressed following the killing of al Qaeda leader Abul Aziz al-Muqrin in mid- June, Saudi authorities have been revising their assessment of the terror group.

OBAID: There isn't a huge amount of young recruits that was initially believed. That's not the case. And more importantly, the ones that have turned themselves in have provided enough information to go after the safe houses and the existing infrastructure.

ROBERTSON: As a direct result, security forces were able to target an al Qaeda safe house in Riyadh three days ago, yielding much weaponry and the head of U.S. helicopter technician Paul Johnson, murdered over a month ago.

Indeed, during the leniency, there have been three major shootouts with al Qaeda, Saudi officials say, resulting in the deaths of at least four of their members and the capture of many more.

(on camera): That's the same number of big name al Qaeda members that have turned themselves in so far, along with dozens of other sympathizers. And although the offer of leniency is technically over and will not be extended, negotiations are ongoing with a number of people on Saudi Arabia's most wanted list, including the current al Qaeda leader.

Nic Robertson, CNN, Riyadh, Saudi Arabia.

(END VIDEOTAPE)

GRIFFIN: If you didn't have time to keep up with all the news this week, we can help get you up to speed as we rewind.

Former Clinton aide Sandy Berger says he deeply regrets making an honest mistake, what he calls, in removing top secret documents from the National Archives. It was revealed this week he is being investigated for allegedly taking the documents as he prepared to testify before the commission investigating the 9/11 attacks. Berger also stepped down as a foreign policy adviser to Senator John Kerry's presidential campaign.

On Thursday, the 9/11 Commission released its final report. The document cites multiple failures in national intelligence that contributed to the terrorist attacks. It avoids placing specific blame on either the Bush or Clinton administrations.

Included in that report, the story of the passengers aboard United Flight 93. The panel says the passengers' actions saved the lives of countless others. The report included a chilling transcript of the words of one of the hijackers aboard the flight. It details the actions of the passengers who tried to storm that plane's cockpit, causing the hijackers to give up their plan to fly to Washington and instead slam the plane into a field in Pennsylvania.

Tomorrow, we'll fast forward to the big week ahead. And it is a big one with the convention. And we'll tell you which stories will likely grab the spotlight there.

NGUYEN: Millions of Americans suffer from the often debilitating Alzheimer's Disease. And coming up at 8:30 Eastern this morning, House Call with Holly Firfer looks at treatments that offer new hope for victims.

Then at 9:00 Eastern, a man who spent nearly three decades with the CIA gives us an insider's analysis of the 9/11 Commission report, answering the tough questions, at 9:00 Eastern.

Plus, we are going live to Boston, where the confetti, balloons and patriotic banners are ready and waiting for the Democrats to coronate their candidate at next week's convention.

But first, never in history has so much money been spent on security for the Olympic Games. And the hefty price tag does not stop there. The Olympic money game in just a few minutes, right here on "CNN SATURDAY MORNING."

(COMMERCIAL BREAK)

NGUYEN: Cyclist Lance Armstrong lost the 18th stage of the Tour de France, but he is still in the lead. The U.S. Postal Service's easy rider takes a four minute, nine second lead into today's individual time trial. There's only one more stage after that. The Tour ends tomorrow in Paris and Armstrong is vying for an unprecedented sixth straight victory.

GRIFFIN: Which brings us to this question -- is it the bike or the biker that makes all the difference in a distance race like this?

Steve Overmyer found a case can be made for both.

(BEGIN VIDEOTAPE)

STEVE OVERMYER, CNN CORRESPONDENT (voice-over): Year after year, Tour de France victory celebrations along the Champs d'Elysees in Paris have been focused on one man -- Lance Armstrong. Lance's legs have proven to be as strong as his desire to endure the world's most grueling bicycle race six years in a row. But even his mighty U.S. Postal team needs some help from technology along the way. SHANNON HUTCHISON, PROFESSIONAL CYCLIST: There's all sorts of things. They'll do wind tunnel tests. They're going to use the lightest materials. There's carbon fiber, titanium, aluminums.

PETER WICKER, OWNER, OUTBACK BIKES: This is a limited edition Lance Armstrong bike. This is number 29 of 500 that were made.

OVERMYER: From trick arrow handlebars and helmets to special frames and wheels, bike companies are doing whatever they can to keep their teams ahead.

WICKER: I think if you level the playing field, you see that technology does make a difference. You know, the strong houses of Postal, T-Mobile, some of these larger teams that have technology $5,000 to $10,000 time trial bikes.

OVERMYER: And much of the same ultra light materials tech fans see in the Tour de France ends up in their local bike shop.

WICKER: This bike is a full titanium Bianci bike, actually, the same bike Juan Perri (ph) rode. It's in the tour right now, ridden by the Alesio Bianchi team.

Pro, which uses the Zertz technology which, if you look here, has the elastic inserts which are molded into the carbon, which absorb shock. A lot of these bikes, they do incorporate high end technology, which, it's costly. The titanium is aerospace grade titanium. It's what they use in satellites.

OVERMYER: Beyond the bikes themselves, teams make use of devices like ear pieces for communication between riders and team managers; and tiny computers that monitor everything from bike functions to altitude, speed, distance, cadence and even power output. All of the information is then downloadable.

UNIDENTIFIED MALE: You can take that with infrared or a USB port and download your workout that they're doing in the Tour. They keep track every day a diary of what they've done.

OVERMYER: Although team managers know these gadgets certainly help, professional racers say training and discipline are still what drives them.

HUTCHISON: At this level, training supplements taking care of yourself, making sure you're rested and recovered. A race of that magnitude, you definitely have to be focused on what you're doing.

OVERMYER: Focus certainly doesn't seem to be a problem for the U.S. Postal team. And with a little help from technology, Lance Armstrong's run may not yet be finished.

Steve Overmyer, CNN.

(END VIDEOTAPE)

NGUYEN: Technology and money. I understand the Postal Service is spending somewhere around $8 million on the Tour de France.

GRIFFIN: That's a lot of stamps, Betty.

NGUYEN: Yes, that is a lot of stamps.

Well, speaking of sports, unprecedented security is planned for this year's Olympic Games in Athens.

GRIFFIN: Yes, but will that leave the event financially in the red?

Rick Horrow will join us to go beyond the game. That's when "CNN SATURDAY MORNING" continues.

(COMMERCIAL BREAK)

NGUYEN: Thirty-two years ago, at the 1972 Summer Olympics in Munich, the Palestinian group Black September killed 11 Israeli athletes. Then, in 1996 here in Atlanta, a bomb exploded in Centennial Olympic Park, killing one woman. Now the fear of another act of terrorism sparks a $1.2 billion security commitment for the Summer Games in Athens next month. It is the most money spent in Olympic history. That's because U.S. intelligence indicates al Qaeda has at least the desire, if not the intent, to disrupt international events like the Olympics.

And the games in Athens begin on Friday, the 13th of August.

What will set this Olympics apart from the games in Athens some 3,000 years ago? The money being spent to keep athletes and fans safe.

Rick Horrow is a CNN sports business analyst.

He's the author of "When the Game Is On the Line."

He joins us this morning from West Palm Beach, Florida.

Good morning to you.

RICK HORROW, SPORTS BUSINESS ANALYST: It's beautiful down here this morning. Get some golf in.

NGUYEN: Oh, I bet it is wonderful.

Speaking of sports, let's talk about these games. And we'll discuss security in just a moment.

But first, are some of these venues still under construction?

HORROW: Well, you know, the fad conversation of the past few years, Betty, was to talk about how these facilities wouldn't be ready. And the worst winter in Greek history, they said, and the change of government and the IOC imposed deadline caused some concern. But they were about 90 percent finished by April. And if you consider an 18,000 ton roof on the main venue not being ready as a concern, yes, I guess that's a problem. But that's dramatic. That's not functional.

The real issue is the 125 miles of roads, the untested transportation system. It's supposed to transport 1.2 million people. And, you know, the bottom line is some say Athens is a 500,000 person city that five million people live in. And, of course, the worst blackout in history doesn't help matters, a couple of weeks ago. Some people are concerned the lights are going to go out on the games themselves, as well.

NGUYEN: Rick, a lot of money and effort has been spent on security. This country's over budget because of it. Greece is over budget and what's being done to help that situation? Because tickets aren't really selling like they should be.

HORROW: Well, look, there's over budget then there's over budget. They're $1.8 billion over budget. That's a heck of a shopping trip in any context. The problem is you've got to make up revenue from somewhere. And of the 5.3 million tickets they've got to distribute, they've only sold 1.9 million. At the time last Olympics, Sydney sold over half during that time.

So they've got to rely on some luck. They've got to rely on good weather, some promotional activities. And, by the way, when Greece won the European soccer cup a couple of weeks ago, people were saying that's going to give the fans pause to go buy those tickets. We're just going to have to see as we get closer to Friday the 13th of August.

NGUYEN: So what does this mean for investors who are hoping the profit off of these games?

HORROW: Well, the investors are really the corporations and television. You know, the corporations are a billion dollar investors in these facilities and the Olympics. It's the bedrock of the games. And companies like Visa and Coke are old reliable. They're going to bring 1,200 people for their hospitality. Others we're not so sure.

The other issue is the television, NBC rights. By the way, they paid three quarters of a billion dollars for the rights and they're going to get that back in advertising, especially with 1,200 hours of programming -- Bravo, Telemundo and their other networks. They have to get younger, the viewers, and they've got a $30 million ad campaign to do that.

But, by the way, when CBS bought the rights to the Squaw Valley Olympics in '60, guess how much?

NGUYEN: How much?

HORROW: Fifty thousand dollars.

NGUYEN: That's it?

HORROW: We've gone a long way there.

NGUYEN: Oh, yes we have. HORROW: We've got to recoup the investment.

NGUYEN: All right, Rick Horrow, CNN sports business analyst.

Thank you very much.

HORROW: See you next week.

GRIFFIN: All right, you guys, hitting the slopes on something that looks like snow but isn't. What it is is one of our Wows of the Week, straight ahead.

(COMMERCIAL BREAK)

NGUYEN: Welcome back on this Saturday.

I'm Betty Nguyen.

Here's a look at our top stories.

Congress will take steps to act on recommendations of the 9/11 Commission despite being on summer recess. Both House and Senate leaders promise an unusual round of hearings in August on proposed reforms.

And in Iraq, a U.S. Marine has died from wounds he sustained yesterday during a security operation in the Al Anbar Province. That is west of Baghdad.

(WEATHER REPORT)

GRIFFIN: We're going to move on to our Wows of the Week, stories so unusual, we thought we'd give you a second look at them.

First up, all downhill from here. A sandy knob outside Moscow the hottest spot for skiers who refuse to put away their skis. Falling is like hitting sandpaper they say. Hmmm. But there's a nice refreshing dip and there it is waiting at the end of the run.

And these flowers not only look great, Betty, and smell lovely, they sound good, too. A Japanese company has found a way to turn fresh flowers into stereo speakers. I'm not sure why. But a device called a flower speaker amplifier is inserted at the bottom of a flower pot.

And finally, don't cast your pearls before swine, but feel free to leave them in a New York City cab. A Connecticut man says he left a backpack full of thousands of dollars worth of black pearls in a cab after a few too many cocktails. But driver Nestor Sulpico said he couldn't live with himself if he kept the loot. The driver did keep the reward of $500.

NGUYEN: That is one honest cabby there.

GRIFFIN: Yes. NGUYEN: Well, of course, we want to remind you of our e-mail Question of the Day. Are you concerned about another al Qaeda attack in the U.S.? E-mail us your response at wam@cnn.com. We'll read them on the air.

GRIFFIN: The next hour of "CNN SATURDAY MORNING" begins right now.

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