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CNN Saturday Morning News
New Jersey Approves Budget, Ends Government Shutdown; New U.S. Guided Missile Destroyer Deployed to Japan; Three People In Custody Over Foiled New York Terrorist Plot; Israeli Forces Open New Front in Gaza; World Cup Bad News For Wimbledon TV Ratings; Helping the Blind Read
Aired July 08, 2006 - 07:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
TONY HARRIS, CNN ANCHOR: And good morning, everyone.
Working through the night, New Jersey legislators end the state's budget crisis. They reached an agreement just a short time ago. Governor John Corzine has issued an executive order ending the state government shutdown. The stalemate closed state government for a week and forced Atlantic City casinos to shut their doors.
Three suspects in custody, five more still at large. Details unfold in an alleged plot to bomb tunnels into lower Manhattan. The FBI says an attack was planned for October or November. Authorities say the plot involved putting suicide bombers on trains.
Israeli soldiers press the eastern outskirts of Gaza City while scaling back manpower in northern Gaza. Palestinian sources report gun-and tank fire around the city. Americans visiting Gaza are leaving quickly as the violence escalates.
Coming up in about, oh, seven minutes, CNN's Paula Hancocks will bring you the very latest from the Mideast.
BETTY NGUYEN, CNN ANCHOR: And stepping out -- shuttle astronauts will go for a space walk this morning. The Discovery crew wide awake. They've already had their breakfast and two astronauts will space walk to test a new robotic arm.
Our very own Miles O'Brien will cover that live event. And that's going to take place in about two hours, so stick around.
HARRIS: From the CNN Center in Atlanta, this is CNN SATURDAY MORNING.
Betty, good morning.
NGUYEN: Good morning.
Well, what's this all about? You've got a little attitude at 7:00 in the morning?
HARRIS: Yes.
You know why?
NGUYEN: Why?
HARRIS: We've got breaking news right on the top.
NGUYEN: Oh, yes, we've got lots to deal with.
HARRIS: You know, the new deal in New Jersey's state budget crisis?
NGUYEN: Things are starting to open up today.
HARRIS: We can play.
NGUYEN: Yes.
HARRIS: Let the games begin.
NGUYEN: The gambling.
HARRIS: Exactly.
4:00 a.m. on the West Coast, 7:00 a.m. in Atlantic City, New Jersey, where casino workers breathing a big sigh of relief after the state legislature approved a budget overnight.
Good morning, everyone.
I'm Tony Harris.
NGUYEN: Good morning, everybody.
Apparently, Tony is ready to hit the table.
HARRIS: Ready to go. Ready to go.
NGUYEN: I'm Betty Nguyen.
We want to thank you for being with us today.
HARRIS: Roll the dice, crank up the slot machines.
After pulling an all-nighter, New Jersey lawmakers approved a nearly $31 billion state budget this morning. The final vote came just over an hour ago. It cleared the way for the governor to end a government shutdown and for states -- the state's 12 casinos to reopen.
Joining us now, Anthony Coley, the governor's press secretary.
Anthony, thanks for your time this morning.
We appreciate it.
ANTHONY COLEY, GOVERNOR CORZINE'S PRESS SECRETARY: Great, Tony.
Thank you for having me.
HARRIS: Hey, how tough, in the end, was this?
There comes a point when you realize this has to get done. We've got to get a deal here. We've got to get the state moving again.
Is that what ultimately led, that pressure, to getting a deal done, do you think?
COLEY: Sure, Tony.
The governor has consistently said that what's perfect cannot be the enemy of what's good. And, you know, that has been one of his -- that's been one of his top principles in going through this and in seeking a compromise, a principled compromise in dealing with the senate president and the speaker of the assembly. So...
HARRIS: Well, you know, a lot of folks wonder why this was so difficult. Democrats, you know, have the advantage in the legislature. You're talking about a 1 percent increase on the sales tax.
Why was it so difficult for this Democratic governor to win over Democrats in the legislature?
COLEY: Tony, we should probably go back in really quickly and explain the situation that the governor was faced with when he took office a little over five months ago.
HARRIS: Sure.
COLEY: The state was faced with a $4.5 billion shortfall.
HARRIS: Yes.
COLEY: The governor decided to institute very deep cuts in spending, about $2.5 billion worth. And the other part of -- and so that left us with about $2 billion to come up with.
The problem that the State of New Jersey has had is that recurring revenues, the money coming in, does not match recurring expenses, the money going out. So the governor thought that the best way to get the left side of the ledger to equal the right side of the ledger is to have recurring revenue streams.
The sales tax, in his opinion, was the one that could provide the most constant source of income.
HARRIS: Yes.
I've got to ask you, as this process played out, the state was losing money.
What is the one estimate, $1.3 million a day? Is that close?
COLEY: Yes. We have heard those estimates...
HARRIS: Yes. COLEY: ... and, you know, it's, you know, this is what -- sometimes -- and this is what Governor Corzine has done. It's no different than what Governor Mark Warner did in Virginia and Mayor Mike Bloomberg did in New York City. A number of businessmen turned elected officials across the street have made principled decision, principled decision, not so much swayed by what may be politically expedient but what's fiscally prudent.
That's what guided our governor's, Governor John Corzine's actions here. And the state is going to be much better in the long run-because of that.
HARRIS: OK, so, Anthony, you get back -- everything back up and running. State parks open. Casinos open. Everything opening?
COLEY: State parks will be -- parks and beaches will be open tomorrow. The casinos should be open very shortly. So we encourage people to come and visit New Jersey. Come see for yourself.
HARRIS: Let the games begin.
Anthony Coley, we appreciate it.
thank you, sir.
COLEY: Great.
HARRIS: Good times.
COLEY: Thank you very much for having me.
HARRIS: OK.
Our pleasure.
NGUYEN: OK, this just in to CNN.
We are getting word that a new top-of-the-line U.S. guided missile destroyer which is equipped with sensitive missile tracking radar was deployed to Japan on Saturday, which is today. And, of course, this is amid mounting tension over the fact that North Korea fired missiles on Wednesday, in fact seven of those missiles, one of them a long-range missile. That long-range missile did fail almost immediately after it was fired.
But this obviously in protection of Japan. The USS Mustin arrived in the Yokosuka, which is the home port of the U.S. Navy's 7th Fleet. That happened on Saturday, this morning. It's a crew of 300 sailors. And they're going to be there on permanent assignment to that region.
But, again, a new top-of-the-line U.S. guided missile destroyer equipped with sensitive missile tracking radar, was deployed to Japan this morning and apparently it has already arrived, along with 300 sailors, who will be in the region permanently.
Of course, we'll stay on top of all of this, as we continue to follow North Korea and its missile program.
All right, in other news today for you, a plot to flood New York City and its tunnels is revealed. Three people are in custody. Next, though -- here is what they're trying to do, find those five alleged plotters still out there somewhere.
CNN justice correspondent Kelli Arena reports on the plot and what her sources are saying.
(BEGIN VIDEOTAPE)
KELLI ARENA, CNN JUSTICE CORRESPONDENT (voice-over): Officials say the plot was in the early stages, but well enough along and serious enough to act.
MICHAEL CHERTOFF, HOMELAND SECURITY SECRETARY: We don't wait until someone has lit the fuse to step in and prevent something from happening. That would be playing games with people's lives. So we always intervene at the earliest possible opportunity.
ARENA: The attack, they say, was planned for this fall, and called for putting suicide bombers with backpacks full of explosives on trains.
MARK MERSHON, FBI NEW YORK ASSISTANT DIRECTOR: They were about to go to a phase where they would attempt to surveil targets, establish a regimen of attack and acquire the resources necessary to effectuate the attacks.
ARENA: This is the alleged mastermind, Ahmed Salim Hamdan, 31- years-old, from Lebanon. He's being held in Beirut.
MERSHON: We know that he has acknowledged pledging a bayat, or allegiance, to Osama bin Laden. And he proclaims himself to be a member of al Qaeda.
ARENA: Lebanese security officials say Hammoud was taken into custody on April 27th. The Lebanese government says Hammoud was living a life of "fun-and indulgence" to hide his extremist views. It also says he was supposed to travel to Pakistan for terror training.
The FBI says that, in all, eight people are involved. At least two other alleged participants are also in custody, but the FBI won't say where.
As for the other five, officials say they do not believe they're in the United States.
MERSHON: There are still subjects out there, mostly known, some only partially identified or unknown. And we remain vigilant.
ARENA: The plot was first revealed in a New York newspaper and that infuriated officials, who say the disclosure jeopardized the investigation.
But there is another view. The story of an apparent law enforcement success came out on the anniversary of the London subway attacks and suggests a political motivation for leaking.
JOE CIRINCIONE, CENTER FOR AMERICAN PROGRESS: If this was a genuine plot, there's nothing wrong with that. But we do have to keep in mind, the Department of Homeland Security, in particular, is under a lot of pressure to show some results.
ARENA (on camera): The investigation is ongoing. The FBI says at least six countries are actively involved. Sources tell CNN those include Iraq, Canada and Pakistan.
Kelli Arena, CNN, Washington.
(END VIDEOTAPE)
NGUYEN: You want to stay tuned to CNN both day and night for the most reliable information about your safety and security.
HARRIS: Israeli forces opened a new front in Gaza today. Troops and tanks rolled into the eastern outskirts of Gaza City, exchanging fire with Palestinian gunmen.
It is the latest incursion aimed at freeing a kidnapped Israeli soldier.
Meanwhile, visiting Americans frightened by the violence packed up and moved out.
More from CNN's Paula Hancocks in Gaza City -- Paula, good morning.
PAULA HANCOCKS, CNN CORRESPONDENT: Hello, Tony.
Well, in the past five or 10 minutes, also, the Israeli shelling has increased in the north of Gaza and also to the east. Now, just to the left of me is North Gaza, where a lot of the Israeli tanks and troops moved back overnight. They had been in two small residential areas in that area. And that's where we've seen the fiercest fighting over the past three days.
We know that 19 Palestinians died Thursday, nine on Friday and another two this morning in attacks in that particular area. Also, one Israeli soldier. But they are pulling back from that particular area. And then just behind the camera is East Gaza. Now, that's just east of Gaza City. And it appears that this is the new front that the Israeli military is working on now.
They moved across the Karni Crossing, which is where they had brought emergency goods in about a week ago. And they're now starting to shell that area heavily, looking for tunnels, looking for unexploded devices, preparing the ground, maybe, for -- to move a little bit further in.
Now, we have heard from Palestinian Prime Minister Ismail Haniya's chief of staff this Saturday and he's calling for calm. He says that Haniya wants both sides to stop the violence which has claimed so many lives in the past few days. And the list, the casualty list is growing -- Tony.
HARRIS: And, Paula, give us a sense of these Americans, many of Palestinian origin, who have decided that it's time to go because of all of this fighting and violence.
HANCOCKS: That's right. We know 65 Americans, at the crack of dawn this Saturday, left Gaza. According to the U.S. consulate, they had been trying for the last two weeks -- this has been going on for almost two weeks now -- they've been trying to get out of Gaza.
The Erez Crossing -- now, this is the main crossing between Gaza and Israel for people -- has been on and off. It's been closed for many days. It's been dangerous around there, as well. We know some journalists had to drive through crossfire to get through that.
They didn't want to do that. So they called the U.S. consulate. They organized a U.N. convoy to take them out. And then once they're in Israel, to drive them to Jordan and fly them home.
So it took a couple of weeks to organize that. But those Americans -- as you say, many of them are of Palestinian origin and were over here visiting family -- were just too scared, because there's constant air strikes at night, sonic booms. And they just wanted to get home -- Tony.
HARRIS: OK, CNN's Paula Hancocks for us in Gaza City.
Paula, appreciate it.
Thank you.
NGUYEN: Let's get back to that news that's just in to CNN about the fact that a new, top-of-the-line U.S. guided missile destroyer, which is equipped with sensitive missile tracking radar, was deployed to Japan this morning. And, of course, this is amid those mounting tensions over North Korea launching seven missiles on Wednesday, one of them being a long-range missile which actually failed after launch. But no doubt these are actions that are being taken to protect Japan.
The USS Mustin arrived in Yokosuka port today. That is the U.S. Navy's 7th Fleet, the home port of that fleet. And it will contain a crew of 300 sailors. They're going to be there for permanent assignment to the region.
Again, a new top-of-the-line U.S. guided missile destroyer was sent to Japan today.
Speaking of the effort to get North Korea back to the negotiating table, the U.S. envoy, Christopher Hill, is in South Korea today, trying to work out a deal. The U.S. says it will talk one-on-one with North Korea, but only within six party talks about North Korea's nuclear weapons.
So we're asking you this morning, what do you think? Should the U.S. sit down in direct talks with North Korea? Will that get anything accomplished? Or is the U.S. just playing into North Korea's hand if they do that?
What do you think? Should the U.S. sit down in direct talks with North Korea?
Here's where you can send those thoughts, weekends@CNN.com. It's a really hot button issue right now and we want to hear what you have to say about it. So we'll be reading those replies on the air.
HARRIS: You've got to talk, don't you?
NGUYEN: You've got to have an opinion on it.
HARRIS: You've got to have...
NGUYEN: Especially after all those missiles that were fired Wednesday.
HARRIS: Well, you've got to talk.
Still ahead, a tough week for the president.
(BEGIN VIDEO CLIP)
SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Why shouldn't Americans see the policy regarding North Korea as a failed one? What...
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: Because it takes time to get things done.
(END VIDEO CLIP)
HARRIS: CNN's own Suzanne Malveaux lays tough questions on President Bush. A look at the exchange and how he defended his policy on North Korea.
NGUYEN: And imagine reading menus, books, hey, road signs without having to use your eyes at all.
Does it seem impossible?
Well, it's not, because in about 30 minutes, we'll tell you about a new device for the blind which is giving sight through technology.
REYNOLDS WOLF, CNN METEOROLOGIST: And we're going on the take a look at your forecast. You've got to know what to expect weather wise before you get your weekend started. And coming up in a few moments, we'll give you the forecast. Just in a few moments right here on CNN.
(COMMERCIAL BREAK)
(WEATHER REPORT)
NGUYEN: All right, crew members aboard Discovery and the International Space Station have been up for several hours. They were up way before we were, believe it or not, preparing for today's space walk.
Here's a live look -- oh, isn't that beautiful? Just so pretty.
Exactly two hours from now, that space walk will take place. Astronauts Piers Sellers and Mike Fossum will step into the void for more than six hours.
Now, yesterday, CNN chief national correspondent John King asked Space Station resident Jeff Williams about the risk of space travel.
(BEGIN VIDEO CLIP)
JEFF WILLIAMS, ASTRONAUT: If you look at the human history, it is a history of exploration. And there's always been debate on every step of the way throughout history on whether we ought to go beyond what we know. But there's something in our nature that wants to seek and understand and look around the corner and over the horizon to understand what we -- and to discover what we haven't discovered yet. And that's what we're doing now. And it's no different now than at any other point in history.
(END VIDEO CLIP)
NGUYEN: That is just so fascinating.
And, CNN anchor and space correspondent Miles O'Brien will join us at 8:00 a.m. Eastern for a closer look at today's space walk.
HARRIS: And still ahead, helping the blind see.
(BEGIN VIDEO CLIP)
JAMES GASHEL, NATIONAL FEDERATION OF THE BLIND: Frankly, I find it very empowering to be able to do this on my own.
(END VIDEO CLIP)
HARRIS: A priceless new device giving independence to the blind. We'll have the details straight ahead.
NGUYEN: Plus, a classic battle -- the World Cup versus Wimbledon. Find out which sport throws the knockout punch. Hmmm, that's a tough one.
HARRIS: Yes.
NGUYEN: Up next, though, we're going to head live to London, where "Beyond The Game's" Rick Horrow tells us who got decked and -- well, apparently he didn't get decked. I'm not seeing any black eyes. But he's still talking and nobody is listening.
HARRIS: What is he -- what is he doing?
NGUYEN: Yes, Rick, you know what? We're not listening.
We'll see you soon. Keep talking, though. HARRIS: Rick?
(COMMERCIAL BREAK)
HARRIS: Hey, take a look at these match-ups for this weekend's Wimbledon championships. Man, Belgium's Justine Henin-Hardenne versus France's Amelie Mauresmo for the women's title. I think that's Amelie Mauresmo.
And on the bottom there -- oh, man, I love this -- Switzerland's Roger Federer -- Fed Express -- takes on Rafael Nidal, number one versus number two, for the men's title.
What you don't see are any Americans playing for a Wimbledon championship. Well, maybe doubles. Their play was just plain ugly. In fact, it was the worst showing for the U.S. at the all England club in 95 years. That may be good news for the rest of the world, but it's bad news for Wimbledon TV ratings.
It also doesn't help that Maria Sharapova -- where is she? Put her up here. Yes. Perhaps the game's most popular player right now, did not even make today's women's final.
And then there's the World Cup, a ratings challenge that's hard to beat in Europe.
Let's go live now to London, where we find the author of "When the Game Is On the Line," our sports business guru, Rick Horrow -- Rick, good to see you.
They wouldn't allow you on the grounds of the All England Club, I see?
RICK HORROW, CNN SPORTS BUSINESS ANALYST: I'm going.
HARRIS: Oh, yes?
HORROW: No, we've got the finals in an hour. So I have my mindless prop. I forgot my tie. We have a lot to talk about, so if you wouldn't mind proceeding, I'd appreciate it.
HARRIS: Yes, let's get to it, then.
OK, the World Cup.
HORROW: All right.
HARRIS: England versus Portugal. Nineteen million viewers in England.
And the peek so far for Wimbledon, four million viewers? Are we just talking about classic bad timing here?
HORROW: Well, it's classic bad timing for England. For example, 83 percent of the households tuned in for their defeat by Portugal in penalty kicks and then three days earlier Tim Henman gets eliminated on their side and Andy Murray five days later. Then they see their bitter rival, France, get to the World Cup finals. And Amelie Mauresmo, as you would say, get to the women's final today.
A bad day for the home team, by the way.
But the other side of it is there's a prize controversy here in Wimbledon with money. A 53,000 pound difference between the men and the women. But it's created a journalistic and moral firestorm here. But all is not lost -- $14 million, Tony, of corporate sponsorships here at Wimbledon -- IBM, Rolex, the big time.
The number I love is 28,000 kilos of strawberries these two weeks for strawberries and cream. I'm going in an hour to get fatter. You would probably say fatter.
HARRIS: There you go.
First, look, boy, let's talk about this.
I didn't know this was -- I was aware that it was bad. I didn't know it was this bad. No American in the final eight of a tennis grand slam since 1976. All right, that's 30 years.
How about the U.S. Tennis Association? What's the plan here to reverse this?
HORROW: Well, here's how bad it is. Of the nine men and 14 women who entered the Wimbledon tournament, none made it to the second week. It's the worst showing in 98 years. And one girl and two boys, Americans, have been in the top 25. Sixty-three percent of Americans are not interested in Wimbledon. The USTA is trying to reverse that, a $50 million plan for global warming is what they call it. John McEnroe is talking about tennis academies all over America like they do in other countries.
In fact, before the finals today, I'm going out and practicing. Maybe I can single-handedly resurrect the American tennis program.
HARRIS: You have no knees, man.
What are you talking about?
You need knees to play these games.
Hey...
HORROW: You and I will get -- we'll get to this.
HARRIS: Yes, yes, yes.
How about our foul ball this week? Take us "Beyond The Game" with this analysis. On Greg Anderson, the trainer for Barry Bonds refusing to testify in the continuing BALCO investigation and the probe into Barry Bonds.
HORROW: Well, the "Beyond The Game" foul ball is on your side of the pond this week. And it relates to where baseball is going. A 20 percent spike in ratings, a good thing. Fifty million dollars of economic impact. Pittsburgh, at the All-Star Game, good thing.
But this trainer says he isn't testifying and guess what? steroids are center stage again, right when baseball doesn't need it.
HARRIS: And your fair ball? France and Italy? We're talking World Cup?
HORROW: Well, we're talking World Cup tomorrow. It's a big deal. We're going to the women -- to the men's final tomorrow, then watching the World Cup here, probably at a Wimbledon bar, which will be kind of cool. But the overall business recap is 30 billion viewers. You wish you had that many for yourself, by the way.
HARRIS: I hear you.
HORROW: Three million attendance...
HARRIS: We're getting there.
HORROW: You've got a long way to go.
Eleven million people around Germany in public places watching the Cup. Here's a big number -- a 4.5 percent increase in expected profit over their projections. The World Cup is a fair ball in every material respect.
I'm going to go enjoy some strawberries and cream.
HARRIS: Do it. Do it.
HORROW: I'll get you a large hat for that head.
HARRIS: Nice. Nice. You'll need a large hat for this head.
HORROW: Yes, sir.
HARRIS: Hey, a couple of pounds for me on Justine and Federer tomorrow.
Have a good time.
We'll see you next week.
All right?
HORROW: A safe bet.
See you next week.
HARRIS: All right. Beautiful -- Betty.
NGUYEN: Speaking of that large head of yours...
HARRIS: Betty! Wow! NGUYEN: Let me ask you this question. Could you walk away from $50 million, Tony? Could you do it?
HARRIS: Betty, thank you for the question, as always.
Absolutely.
NGUYEN: Really?
HARRIS: I'm not defined by money, which is why I don't have much.
NGUYEN: Well, OK. All right. So you could walk away. You could say, you know, forget the $50 million, I don't need it.
Is that what you're telling me?
HARRIS: Yes, yes, yes, yes. Not -- once again, I'm not defined by it.
NGUYEN: OK. Would like it, but not defined by it.
I've got you.
HARRIS: Which is why I don't have too much.
NGUYEN: OK, so that's the deal with Dave Chappelle. He just left. He walked away from it.
Well, why did he quit his own TV show, though?
That's the question people are asking -- why would you walk away from $50 million?
Well, he gives the inside story to our Anderson Cooper.
The exclusive interview in about 10 minutes from now.
And...
(BEGIN VIDEO CLIP)
THE BLIND READER: Homemade ravioli. Ravioli, meat or cheese?
(END VIDEO CLIP)
HARRIS: How about this -- an ambitious, high tech portable device that helps the blind to see? How it works and how it can change the lives of the seeing impaired ahead on CNN SATURDAY MORNING.
(COMMERCIAL BREAK)
NGUYEN: let's get to the latest on a developing story we are following.
The Associated Press reports a new U.S. guided missile destroyer has been deployed to Japan. The top-of-the-line warship is reportedly equipped with sensitive missile tracking radar. Now, this comes amid mounting tensions over a series of missile tests by North Korea.
CNN is working to confirm the story and bring you more on these developments.
And when that is in, of course, we will bring it to you live.
So, they're back in business. The week long government shutdown in New Jersey, well, it is over. Lawmakers worked through the night and approved a nearly $31 billion budget early this morning. The governor then issued an executive order ending the state shutdown.
That means Atlantic City's casinos will reopen a little bit later today.
Visiting Americans pack up and get out of Gaza, saying that they are frightened by bombs, grenades and shelling. Israeli forces moved into Central Gaza today, exchanging fire with the Palestinian gunmen. It's Israel's expanding operation, designed to force the release of a kidnapped Israeli soldier.
Now, the Palestinian prime minister has called for calm to -- and a halt to the military operations on both sides.
We'll continue to follow that story.
Plus, a top U.S. commander in Iraq wraps up his review of a report surrounding the killing of 24 Iraqi civilians in Haditha. That report specifically looked at whether Marines followed correct procedures when reporting the November incident. The "New York Times" reports the commander has concluded that some senior Marines were negligent by failing to investigate inconsistencies in initial accounts.
Now, a separate investigation will look at whether Marines allegedly killed those civilians.
And another potential security breach. A Navy official says the names and Social Security numbers of more than 100,000 sailors and Marines were discovered on a military Web site. A Navy official says there is no indication the information was used for illegal purposes. The data was discovered Thursday by a civilian searching the Web site for a job.
CNN, the most trusted name in news.
HARRIS: President Bush is at the White House this weekend. No public events on his calendar, but you can be sure North Korea is an ongoing concern. It was also evident during Mr. Bush's trip to Chicago yesterday.
Here's CNN's White House correspondent, Suzanne Malveaux.
(BEGIN VIDEOTAPE)
BUSH: It's nice to be here in Chicago.
SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT (voice-over): President Bush blew into the Windy City to hold his first solo news conference outside of Washington, part of a new media strategy to show a president in touch with the people, taking questions from local reporters. But the hour long session was dominated by questions about North Korea.
Since the missiles were launched, Mr. Bush has been trying to get North Korea's neighbors to unite and convincing the regime to come back to the stalled six party talks, and for them to agree on sanctions.
BUSH: The problem with diplomacy, it takes a while to get something done.
MALVEAUX (on camera): If I could follow up, you say diplomacy takes time.
BUSH: Yes, it does.
MALVEAUX: But it was four years ago that you labeled North Korea a member of the axis of evil. And since then it's increased its nuclear arsenal. It's abandoned six party talks. And now these missile launches.
BUSH: Let me ask you a question -- it's increased -- that's an interesting statement. North Korea has increased its nuclear arsenal.
Can you verify that?
MALVEAUX: Well, intelligence sources say -- if you can -- if you would like to dispute it, that's fine.
BUSH: No, I'm not going to dispute it. I'm just curious.
MALVEAUX (voice-over): According to U.S. Intelligence sources, North Korea had the capability to produce one to two nuclear weapons in the mid to late 1990s. But since it began reprocessing 8,000 spent fuel rods in April 2003, U.S. Intelligence estimates North Korea can produce six to eight nuclear weapons, while other experts suggest as many as 12 or 13.
(on camera): Why shouldn't Americans see the U.S. policy regarding North Korea as a failed one? What...
BUSH: Because it takes time to get things done.
MALVEAUX: What objectives has the U.S. government achieved when it comes to North Korea? And why does the administration continue to go back to the same platform process if it's not effective in changing North Korea's behavior?
Thank you.
BUSH: Suzanne, these problems didn't arise overnight and they don't get solved overnight. It takes a while.
You asked what we have done. We've created a framework that will be successful. It -- I don't -- my judgment is you can't be successful if the United States is sitting at the table alone with North Korea. You run-out of options very quickly, if that's the case.
MALVEAUX (on camera): The question now is whether or not President Bush has the credibility and the standing when he meets with other world leaders next week at the G8 summit in Russia to convince them that his plan, his strategy with North Korea, is ultimately a winning strategy to convince that country to cooperate.
Suzanne Malveaux, CNN, Chicago.
(END VIDEOTAPE)
HARRIS: we will take a harder look at the North Korean situation when we speak next hour with Joseph Cirincione of the Center for American Progress.
NGUYEN: Well, when it comes to Dave Chappelle, we have gotten an earful over the last year. Dave Chappelle signed a $50 million deal with Comedy Central. Then, Dave Chappelle skips out on Comedy Central and the $50 million. And, finally, Dave Chappelle has lost his mind. He must be crazy, right?
You've heard it all.
Well, tomorrow night, Comedy Central is releasing what they're calling the lost three episodes of "The Chappelle Show." And last night, Chappelle talked exclusively with Anderson Cooper.
He wanted to dispel a few myths, address some comments being made about him and, oh, yes, talk about that issue of that $50 million.
(BEGIN VIDEO CLIP FROM "ANDERSON COOPER 360")
DAVE CHAPPELLE, COMEDIAN: And I think one of the things that happened, one of the incidents that happened with this that was really off-putting is when I first signed the deal. You know, there was a big like, don't mention the terms of the deal, Dave. Whatever you do, don't mention how much you're making. It should be a big secret.
So I go, fine, I won't. And then the next morning in the paper, it's like Dave Chappelle makes $50 million, which is like a social -- it's like putting a social hit on a person, you know? It's like from that moment on, my life was completely different. I think that people judge you differently. And then incentives or -- you start dealing with the agendas.
(END VIDEO CLIP)
NGUYEN: Hmmm.
Well, you can catch "A.C. 360" weeknights at 10:00 Eastern, right here on CNN. HARRIS: Still ahead, living by sound, smells and touch. Now the blind don't have to depend on guide dogs and walking sticks. They have a way to walk the streets and see every sign in their path.
How is that possible?
Details straight ahead.
Stay with CNN, the most trusted name in news.
(COMMERCIAL BREAK)
WOLF: Hi, everyone.
I'm Reynolds Wolf with a look at today's Allergy Report.
And if you happen to be in the Central Plains or out toward the West Coast, things are going to be tough for you in terms of those allergies.
However, into the Northern Plains, into Central and South Texas, even along portions of the Eastern Seaboard, things will be much easier for you to deal with.
That's a look at today's Allergy Report.
(COMMERCIAL BREAK)
NGUYEN: OK, taking text and bringing it to life for the visually impaired. Quite a job. But a breakthrough device is helping the blind read restaurant menus, mail, even business cards. It's really remarkable.
WFAA's Chris Heinbaugh has the story.
(BEGIN VIDEOTAPE)
CHRIS HEINBAUGH, WFAA CORRESPONDENT (voice-over): Signs, words, messages -- our eyes take it in and our brains process.
Jim Gashel never sees it.
GASHEL: There's something being communicated to you visually almost every time you turn around. Well, blind people miss that.
HEINBAUGH: But a new device, The Blind Reader, is opening Gashel's eyes, at least a bit. A hand-held computer and camera, it captures images, processes the text, reads it back.
THE BLIND READER: The Supreme Court's redistricting ruling on Wednesday means more of the same.
GASHEL: It says they're talking about redistricting.
HEINBAUGH: For Gashel, blind since birth, The Blind Reader represents independence. GASHEL: It's revolutionary. That's why we say the revolution is here.
HEINBAUGH: Browsing a newsstand -- Gashel could never do that before.
THE BLIND READER: ... showdown. Extra. Extra.
HEINBAUGH: Reading a business card was unheard of.
THE BLIND READER: Chris Heinbaugh, senior reporter.
GASHEL: It read your name. It said you're a reporter.
HEINBAUGH: And ordering from a menu meant asking someone to read it. Not anymore.
THE BLIND READER: Homemade ravioli. Ravioli, meat or cheese.
HEINBAUGH: Simple everyday things those who can see take for granted.
GASHEL: Frankly, I find it very empowering to be able to do this on my own.
HEINBAUGH: For the sighted, the $3,500 device may seem expensive. Gashel thinks it's priceless.
GASHEL: Try being blind and just not having the opportunity to read these things and I think you'll see what I mean.
HEINBAUGH: But the device has its limits. Right now, it's just a document reader -- odd colors, unusual text, large signs do not register. But Gashel says someday they will.
GASHEL: This is the future. It's a good example of what we want to do.
HEINBAUGH: As The Reader evolves, more labels, signs, even faces, will come into focus, opening a new world to those who never saw what they were missing.
Chris Heinbaugh, Channel 8 News.
(END VIDEOTAPE)
NGUYEN: So there you have it.
And joining me now from Dallas is James Gashel of the National Federation of the Blind.
Good morning.
GASHEL: Hi.
How are you? NGUYEN: I can hear it.
What are you reading right now? Are you reading something while we're trying to talk?
GASHEL: Yes. I'm actually reading a restaurant menu right here.
NGUYEN: Oh, you're trying to order at 6:44 in the morning your time. Good luck.
GASHEL: A few hors d'oeuvres.
NGUYEN: I bet.
GASHEL: I'd like to at least have something ...
(CROSSTALK)
NGUYEN: That's true. You've got to get it in early in order to get it on time.
GASHEL: Yes.
NGUYEN: Hey, let me ask you, you have been blind since birth.
How life-changing has this device been for you?
GASHEL: Oh, we say the revolution is here, and it truly is. I've never had anything that I could carry around before and be able just to snap a picture and read print. Imagine all the things that come past you every single day that you need to read. Go to an ATM and take out money and you'd like to know how much you took out and plus you'd like to know your bank balance. I cry when I -- sometimes, when I read my bank balance.
NGUYEN: Sometimes you don't want to read those things.
GASHEL: But the reader gives you -- it gives you a lot more power.
NGUYEN: It truly does. It's liberating. But at the same time, it comes with some drawbacks. So let's talk about some of the things -- because we just lined out what it can do -- let's talk about some of the things that it can't at the moment, but folks are working to update that technology. For example, can it read in different languages?
GASHEL: It does not read in anything but English at the moment. But it clearly will. It doesn't read signs on the street yet, but it clearly will. It doesn't read visual display screens right now, but it clearly will.
We're at the future here. This is kind of the beginning of machine vision.
NGUYEN: You know, I was just thinking when you told me it doesn't read anything but English but it will soon read other languages, this could really be revolutionary not just for the blind, but for people traveling to other countries. All they have to do is throw this up there and they know what they're reading in, say, a restaurant in Japan, or in, you know, somewhere in Africa or in Asia.
GASHEL: Oh, I think this device will have mass appeal. It's called the Kurzweil National Federation of the Blind Reader but I hope that lots of people, including lots of people who aren't blind, will be using this.
All you do is snap a picture and it reads print. There isn't any reason why anybody else can't use it. You don't have to be blind to use it.
NGUYEN: But the one thing it can't do as well right now is read handwriting. And that's important for just everyday business.
GASHEL: I think we'll be able to do that. Again, a lot of this is software development. And we have experts working with this project to be able to do pattern recognition such as handwriting.
Computers can read handwriting now. All we have do is develop the software to put it into this device.
NGUYEN: So let's get this device working. Let's fire that thing back up.
GASHEL: OK.
NGUYEN: Show me how it works with what you have in front of you.
GASHEL: All right. What I have in front of me right now is a document that was handed out to me at the recent convention of the National Federation of the Blind here in Dallas. And when I took hold of this document, I didn't really know what it is. So I'm just going to snap a picture of it.
I'm going to hold the camera up about 18 inches above. I'm just going to snap the -- well, I'm going to give you what's called a field of view report, which tells me whether I see all the edges of the paper.
NGUYEN: Oh, that's terrific. So it will let you know if you are at a point where you can get the whole thing in frame.
GASHEL: That's right. I got everything but the bottom. Let's see what it says.
THE BLIND READER: ... the edges are visible. Eighty percent field of view report. Portrait...
GASHEL: Portrait. I'll take that picture.
NGUYEN: And then it starts reading it.
Now, can it... GASHEL: It will start in about 25 seconds.
NGUYEN: Now, do you get the details of what's on there with such a large view or do you have to zoom in for that?
GASHEL: No. It will give me the entire page.
NGUYEN: Wow!
That is...
GASHEL: You'll begin to...
NGUYEN: That is so amazing.
GASHEL: You'll begin to hear it.
NGUYEN: OK.
THE BLIND READER: Counter-clockwise relative to the page. Processing image.
GASHEL: It just said that I was two degrees relative to the page.
Here we go.
THE BLIND READER: An address delivered, National Federation of the Blind...
NGUYEN: So it's giving you the address that's on the flier there. OK.
THE BLIND READER: During the past year, the National Federation of the Blind has continued to conduct...
NGUYEN: Then it's telling you exactly what's on that page.
You know, what I like about it is how detailed it is, because it walks you through how the page is set up, so you know that you're being told everything that is on there just the way that it would be for someone who does have their full sight.
So let me ask you this, though. I mean it's really a wonderful device. But at the same time -- and we talked a little bit about it in the piece -- it's expensive, $3,500. Not everybody can afford this.
So what is the National Federation of the Blind doing to help those who may not be able to afford something that could really improve their lives?
GASHEL: The National Federation of the Blind does have a loan fund that we offer 3 percent loans for people who would like to buy this device. We're obviously looking for other sources of funding -- banks and so forth -- who would be willing to make loans for this and provide means of financing.
Clearly, what we want to do is to have this device in the hands of every blind person who needs it.
On our own resources in the National Federation of the Blind, we're not going to be able to do that job all alone. We're going to need other help.
There are state vocational rehabilitation agencies, one in every state, that can buy this for people who have a need for the device in connection with their employment. And there will be other resources.
NGUYEN: So you're working on it.
GASHEL: But people are buying these. They're very popular.
NGUYEN: Well, speaking of that...
GASHEL: And...
NGUYEN: ... because it only went on the market on July 1st.
So, let me ask you, for folks interested who want to get their hands on this, how can they buy it right now?
GASHEL: All they have to do is to contact the National Federation of the Blind at 1-877-708-1724.
NGUYEN: OK.
GASHEL: That's 1-877-708-1724.
NGUYEN: 1724.
James Gashel with the National Federation of the Blind.
It is wonderful speaking with you today.
Good luck with the order that you're going to be placing soon off of that menu.
GASHEL: Thank you.
I need it.
NGUYEN: Yes.
Have a great day.
Thank you so much.
GASHEL: Thank you.
NGUYEN: Isn't that neat?
HARRIS: That is... NGUYEN: That's amazing.
HARRIS: Yes, it is.
NGUYEN: Like I said, you don't have to be blind to use it. Once it can read in different languages, you can just pop that in your suitcase and travel with it anywhere you want.
HARRIS: You may not need anchors soon.
NGUYEN: Yes, I know. Really.
HARRIS: Still ahead...
(CROSSTALK)
NGUYEN: Thanks.
HARRIS: Is it hot where you are today? A couple of scoops of ice cream, probably, well, it sounds pretty good about now.
NGUYEN: But taste this particular flavor at your own risk...
HARRIS: Yes.
NGUYEN: ... because even the guy who invented it, he's not even going to eat it.
We're going to tell you why and why they call it cold sweat, in our Water Cooler.
(COMMERCIAL BREAK)
HARRIS: Well, you know, that's...
NGUYEN: It's time.
HARRIS: Yes, that's it, Betty. That's about it.
Water Cooler time.
The Water Cooler is always kind of overflowing with odd and interesting news stories this morning.
NGUYEN: That's a nice way of putting it, yes.
HARRIS: Yes. The polite way.
This morning, a bizarre sight on Long Island Sound. Take a look at that behind us here. A 4,500 square foot...
NGUYEN: Is that a floating house?
HARRIS: Well, that's what it is. A mini mansion ferried on a barge to its home site on a Connecticut island. The house arrived at its destination fully furnished -- Betty. NGUYEN: Oh, I like the sound of that.
HARRIS: That's it.
NGUYEN: OK, now, check this out in Ohio. This is what -- and I'm not kidding you -- this is really what they call it, a redneck wishing well. It's making the rounds. Everyone else would call it an outhouse. And if it shows up on your lawn, Tony...
HARRIS: A wishing well?
OK.
NGUYEN: Yes, a wishing well. Here -- here's how it works. You have to put money in the hole -- in the hole -- to get it moved to a neighbor's yard. Yes, lucky neighbor.
HARRIS: Yes.
NGUYEN: Now, this fee is how the town raises the $500 that it needs for that monthly street light bill.
HARRIS: Got you.
OK, in North Carolina, this is not ice cream for a hot summer day. Even the shop owner won't touch the stuff.
(CROSSTALK)
HARRIS: It's called cold sweat and it's made with two hot sauces, three kinds of hot peppers...
NGUYEN: An ice cream?
HARRIS: ... and a -- this is ice cream, yes -- and a secret, a secret ingredient.
NGUYEN: Was that a wink there?
HARRIS: Yes, yes. It got stuck over the lens.
Cold sweat is so hot, you must be...
NGUYEN: How hot is it, Tony?
HARRIS: Well, thank you for the question, as always, Betty.
You must be 18 and sign a wavier...
NGUYEN: Really?
HARRIS: ... just to sample it.
NGUYEN: Just to sample it?
HARRIS: Yes, yes, just to get a little taste. NGUYEN: OK.
So check this out. A teenager in Sheffield, England decided to take a joy ride. You would think a car, right?
HARRIS: Sure.
NGUYEN: Oh, no. Look at this -- a stolen locomotive, folks. No one noticed him during the 45-minute stunt.
Can you believe that?
No one even noticed. But cops did track him down thanks to surveillance video. There's the guy right here. Now, the railroad said, of course, this was stupid.
HARRIS: Yes.
NGUYEN: But it does give the boy his props. They admit his skills were excellent.
HARRIS: Did you watch "Stand By Me?"
Oh, all right.
NGUYEN: Just stay away from trains, all right?
HARRIS: And there you go.
That's the Water Cooler for this week.
The next hour of CNN SATURDAY MORNING begins in a moment.
But first, Gerri Willis has your Tip of the Day.
(BEGIN VIDEOTAPE)
GERRI WILLIS, CNN CORRESPONDENT (voice-over): You may be tempted to do some home renovation yourself, but be aware of a common pitfall. Many homeowners try to save money by becoming their own general contractors, but they often end up spending more than if they had hired a professional in the first place. Here's why.
Subcontractors give general contractors a good rate on services, but homeowners will likely pay retail. That's because subcontractors see you as a one time deal. So for minor home improvement projects, an experienced general contractor will probably be the most cost- effective route.
(on camera): And that's your Tip of the Day. Make sure you join us for "OPEN HOUSE" every Saturday morning, 9:30 a.m. Eastern, right here on CNN.
(END VIDEOTAPE)
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