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CNN Wolf Blitzer Reports

First Photos of Pentagon Attack; How Much is Enough for 9/11 Victims?; Operation Anaconda Continues

Aired March 07, 2002 - 17:00   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.
WOLF BLITZER, CNN ANCHOR: Now on WOLF BLITZER REPORTS: deadly impact. The first photographs of the September 11th attack on the Pentagon.

How much is enough for victims of September 11th? I'll ask Kenneth Feinberg of the government compensation fund why he's boosting the pay-out.

Operation Anaconda: the aerial pounding goes on, despite high winds and swirling dust.

And weather's bad boy is back, with drought and flooding in his bag of tricks. Should you be afraid of the forecast?

I'm Wolf Blitzer in Washington. Topping our news alert: never- before-seen photos of a day Americans will never forget.

Dramatic new pictures taken at the very moment a hijacked airliner slammed into the Pentagon, erupting into a huge ball of fire. These pictures, obtained by CNN, were taken by a security camera at the west side of the building. We will have more on this in a moment.

U.S. -- these are new images coming into CNN only moments ago as well, of the war in Afghanistan. U.S. warplanes pounded al Qaeda and Taliban forces in the mountains of eastern Afghanistan earlier today. Officials say it was some of the heaviest bombing in Operation Anaconda.

More troops and helicopter gunships are being rushed to the front lines as bad weather moves in. Much more on the fighting as well, in just a few minutes.

And with no end in sight to the violence and killing in the Middle East, President Bush has just announced that he's sending his special envoy back to the troubled region. Mr. Bush says retired General Anthony Zinni's mission will be to try to help end the escalating violence. The move comes amid fresh attacks by both Israel and the Palestinians today.

A videotape was released today of an American missionary couple held hostage for months in the jungles of the Philippines. Martin and Gracia Burnham were seized last year by a Muslim rebel group the United States says is linked to al Qaeda. In the tape, obtained by the Reuters news agency, Martin Burnham is seen reading a rebel statement.

(BEGIN VIDEO CLIP)

MARTIN BURNHAM, HOSTAGE: I, Martin Burnham, and my wife, Gracia, both U.S. citizens, were taken as captives on May 27, 2001 at the Dos Palmas beach resort, in Palawan, by the al-Hayda Khitol Islamia (ph), or the Abu Sayyaf group.

(END VIDEO CLIP)

BLITZER: More now on a new series of incredible pictures of the attack on the Pentagon in September. They were taken at the very second a hijacked American Airlines jet crashed into the building. Our military affairs correspondent, Jamie McIntyre, is over at the Pentagon, with the pictures as well as the story behind them -- Jamie.

JAMIE MCINTYRE, CNN MILITARY AFFAIRS CORRESPONDENT: Well, Wolf, witnesses told me the day that this happened that the plane, the American Airlines plane flight 77, came in extremely low. But I'm not sure I realized how low it was until I saw these sequence of pictures that CNN obtained from a -- that were taken by a Pentagon security camera.

The sequence shows the plane coming in so low, it can't be seen in the sky, and then erupting into a huge fireball on impact, just the way the witnesses described it to us. But -- it's hard to see, but if we can go back to the first frame, we might be able to take a look and see precisely where the plane is on the ground. Right in this area that has been circled -- it's difficult to see. But it's so close it looks like it's right on the ground, just a few feet off the ground.

That's not inconsistent with some witnesses who told us that day that a car antenna had been snapped off, by the plane coming in so low. So, this sequence of pictures, again, taken from a security camera. The Pentagon had them. They were turned over to the FBI, but we have obtained them today. And they're the first time we've seen publicly what, up until now, had only been described by eyewitnesses.

Now, the plane also came in at a kind of 45-degree angle. Much of it was reduced to just small fragments by the force of the impact. There were only a few large pieces of wreckage that could be seen outside the Pentagon the day this took place.

And again, just to remind people, there were 189 people killed. That was 125 on the ground at the Pentagon. There were 64 people on the plane, including the crew and the five hijackers -- Wolf.

BLITZER: Jamie, you were at the Pentagon that day on September 11th. What time did you get there? Did you see any of this yourself?

MCINTYRE: I didn't. My first realization that this had taken place was when I actually saw it on CNN. My producer, Chris Plant, had just arrived at the Pentagon, moments after this had happened, and was filing by cell phone. And I looked up on our own monitor as I was making calls about the World Trade Center and saw the report that something had hit the Pentagon. It was at that point I ran out to check for myself. I didn't see it, I didn't feel it.

BLITZER: Jamie McIntyre at the Pentagon, thanks for getting those pictures. Appreciate it very much, as do our viewers.

And let's turn now to the war in Afghanistan -- the war that resulted as a result of those September 11th attacks. U.S. warplanes today carried out some of the heaviest airstrikes in Operation Anaconda, the allied offensive against al Qaeda and Taliban forces, in the mountains of eastern Afghanistan.

CNN's Martin Savidge is near the front lines and he has the latest developments.

MARTIN SAVIDGE, CNN CORRESPONDENT: Wolf, U.S. and coalition forces may have a new enemy on the horizon, and it has nothing to do with al Qaeda or Taliban forces. It is the weather. It is turning bad, and turning bad in a hurry.

Here in the Bagram area, it is expected to bring freezing rain, the possibility of even snow and high winds. In the upper elevations, for Operation Anaconda, where it's being waged in eastern Afghanistan, that is going to mean snow.

They already have snow on the ground. That you seen. More snow is going to make it difficult not only for the troops that are maneuvering on the ground, but especially for any sort of air reinforcement. And all of this operation is being reinforced from the air, whether it be supplies, new troops coming in.

And then there is the CAS, the close air support, that has been a vital backbone of the military operations, and supporting those soldiers that are on the ground. The bad weather expected to last about 36 hours -- perhaps up to three days.

Meanwhile, Operation Anaconda did push forward, according to military officials here. They say that in the last 24 hours, coalition forces have killed another 100 Taliban or al Qaeda fighters. They also say that on their side there have been no casualties, unless you -- except a sprained ankle and several cases of altitude illness.

They also claim that they have captured a number of al Qaeda and Taliban fighters. They won't say exactly how many, or whether they surrendered. But they will say that they are under interrogation. Keep in mind, they have said that over the past few days since this operation began, several hundred Taliban and al Qaeda fighters have been killed. Meanwhile, they have upped the number of fighters they believe that they were originally up against, now saying it was over 1,000 -- Wolf.

BLITZER: Martin Savidge, thank you very much. On the scene in Afghanistan.

More assessment of the war at 7:00 p.m. Eastern tonight in the "CNN WAR ROOM." Our focus: Can al Qaeda regroup in Afghanistan and attack U.S. forces? Please join me then. And you can participate by going to my Web page, cnn.com/wolf. Click on "send questions." I'll try to ask those questions to our panel.

For the first time in a year, Iraq held talks with the United Nations today on the possible resumption of weapons inspections. The move comes as the Bush administration continues to debate whether Iraq should be the next target in the war on terror. Our senior U.N. correspondent, Richard Roth, is covering the talks.

(BEGIN VIDEOTAPE)

RICHARD ROTH, CNN CORRESPONDENT (voice-over): Iraq and the United Nations aren't often on the same page, even when it comes to the location of an arriving foreign minister. Choosing a different entrance than some expected, Naji Sabri, Iraq's foreign minister, made his way to the first face-to-face meeting between Iraq and the U.N. Secretary-General in more than a year.

Sabri is relatively new in the job, but his prior media experience in Baghdad produced a more cordial photo opportunity to the world than other traditional tense U.N. encounters. During their talks, the U.N. leader had only one priority:

KOFI ANNAN, U.N. SECRETARY-GENERAL: We will be pressing for the return of the inspectors.

ROTH: And U.N. officials said the Iraqi delegation focused on disarmament with Secretary Annan. Baghdad has said it wanted to talk, after being branded part of an axis of evil by President Bush.

UNIDENTIFIED MALE: I think these talks with the secretary- general are serious. And they're serious because they don't really have any place else to go.

ROTH: As an indication both sides were ready to get down to arms business, for the first time, the U.N.'s chief weapons inspector, Hans Blix, was at the table. And so was Hussam Amin, a senior Iraqi disarmament expert. For more than three years, weapons inspectors have been unable to probe whether Iraq might be rebuilding a program of weapons of mass destruction.

After the morning session, some optimistic words.

NAJI SABRI, IRAQI FOREIGN MINISTER: We started our discussions with the secretary-general within a positive and constructive atmosphere.

ANNAN: So far, so good.

ROTH: Many U.N. diplomats and analysts question Iraq's sudden interest in talking with the U.N. again. In Washington, the U.S. secretary of state.

COLIN POWELL, SECRETARY OF STATE: They say, "trust us." No, we're not going to trust them. They agreed to have inspectors come and verify this. They agreed to this 10 years ago.

ROTH: The secretary-general said he prefers a diplomatic solution instead of widening the conflict in Iraq.

(END VIDEOTAPE)

Differing points of view, slightly, in the statements afterwards. The Iraqi foreign minister, Sabri, saying the U.N. side raised U.N. concerns and we raised our own concerns. Secretary General Annan, through a spokesman, saying the talks were frank and useful, that they did deal with the return of U.N. weapons inspectors to Iraq, but also a host of other issues, including the return of property from Kuwait -- Wolf.

BLITZER: Richard Roth, covering the situation involving Iraq at the United Nations, which he does so well. Thanks for joining us.

A new shift in U.S. policy toward the Middle East, announced just a short while ago by President Bush. After months of watching the violence escalate day by day, the president said he's sending his envoy, Anthony Zinni, back to the region in a new bid to try to stop the fighting between the Israelis and the Palestinians. Here's what the president had to say.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: I'm deeply concerned about the tragic loss of life and escalating violence in the Middle East. This is a matter of great interest to the United States and all who want peace in the region and the world.

(END VIDEO CLIP)

BLITZER: Earlier today, Israeli forces took aim at an office where Yasser Arafat had been using just moments before it was hit. Meanwhile, in the West Bank, a Palestinian suicide bomber blew himself up near a Jewish settlement. Our Jerusalem bureau chief, Mike Hanna, has been tracking the violence. He filed this report just a short while ago.

(BEGIN VIDEOTAPE)

MIKE HANNA, CNN JERUSALEM BUREAU CHIEF: This massive Israeli offensive is continuing from dusk till dawn and in between, using F-16 fighter aircraft, combat helicopters, tanks. The government of Ariel Sharon is making good his words that he will hit the Palestinians hard.

In the course of the day, Israeli forces have struck at a number of Palestinian targets, both in the West Bank and in Gaza. In the West Bank city of Tulkarem, the Israeli forces there have reoccupied the city, conducting house-to-house searches. Palestinian leader Yasser Arafat says that the Palestinians will not stop what they want to achieve, and that is an independent Palestinian state.

This, despite the fact that a missile came very close to Yasser Arafat's offices in the West Bank city of Ramallah. This, while he was meeting an envoy from the European Union. Palestinian attacks too, continue against Israeli targets. In the West Bank settlement of Ario (ph), a Palestinian suicide bomber killed himself and injured nine Israelis. And another would-be bomber was detained before he could detonate the explosives he was carrying in a Jerusalem neighborhood.

Palestinians remain defiant. They say they will continue their attacks against Israeli targets, while the Israeli attacks themselves continue. Voices from the outside, from the European Union, from the United Nations, from the U.S., for both sides to tamper down this conflict. But neither side apparently, prepared to hear.

Mike Hannah, CNN, Jerusalem.

(END VIDEOTAPE)

BLITZER: And joining now us with their insight on the crisis in the Middle East, Ken Adelman. He's the host of Defensecentral.com, former director of the U.S. Arms Control and Disarmament Agency. And former U.S. Ambassador to Saudi Arabia, Richard Murphy, also a former ambassador to Syria, assistant secretary of state for Near Eastern affairs.

Thanks to both of you for joining us. Ken Adelman, first to you. This new, more even-handed approach we're seeing the past couple days from the Bush administration toward the Israeli-Palestinian conflict -- Secretary of State Colin Powell coming down hard on Ariel Sharon, the prime minister of Israel, in addition to Yasser Arafat. Now sending the envoy, Anthony Zinni, back to the region, even though Yasser Arafat, presumably, has not done what the administration earlier wanted -- what do you make of it?

KEN ADELMAN, FMR. DIR. U.S. ARMS CONTROL AND DISARMAMENT: Well, I generally support the Bush administration, as you know. But I don't understand what bashing Sharon at this point would really do. What would they want Sharon to do? Sharon cannot stand there and watch his country being attacked any more than we can stand there and watch our country being attacked, without doing something.

Israel lives in a sea of hatred, hostility and trouble, that are fostered by the Arab countries all around them. And they continue -- even our friends, the Egyptians and the Saudis, our so-called friends -- continue to fuel that hate. So they really hold up as heroes these martyrs, who aren't martyrs at all. They are suicidal maniacs.

BLITZER: Ambassador Murphy, what's your take on what the administration is now doing?

RICHARD MURPHY, COUNCIL ON FOR. RELATIONS: It's a wise decision to send Zinni back. If he gets back in the next few days, it would be about the same time as the vice president arrives in the region. And the Arab interlocutors he'll be talking to, presumably about Iraq, and what we're going to do about Iraq -- are going to come right back at him.

What are you going to do about the Arab-Israeli situation? What are you doing to tamp down the fighting between the Israelis and the Palestinians? So, it's a wise, tactical decision. BLITZER: Speaking of Iraq, you know, there's a big debate going on inside the government, outside the government -- should the U.S. target Saddam Hussein? Richard Pearl, the former assistant secretary of defense, quoted in the new issue of "The New Yorker," as saying, "The moment Saddam Hussein is challenged effectively, he's history." Do you agree with that?

MURPHY: I just don't know. And I'd be surprised if anyone knows that. That's an assumption which simply can't be made at this point in time.

BLITZER: Well, Ken Adelman has made an assumption that that's true, because I've seen the articles you've written.

ADELMAN: Right. And it's quite clear that what we saw in 1991, at the Gulf War, is that the Iraqi soldiers are not willing to die for Saddam Hussein. And that was before the Iraqis got much weaker. We got so much stronger, and we announced that we're playing for keeps. So, I don't see the kind of fighting that we didn't see, even in the Gulf War, in the first place.

BLITZER: But Ambassador Murphy, can the U.S. effectively fight on two fronts in Afghanistan, as well as Iraq -- not only militarily, but diplomatically, and keep that coalition together?

MURPHY: Militarily, I think we're posing this at a time when it's not clear how long it's going to take us with al Qaeda. So it may well be that this is a sequential involvement. First you finish off al Qaeda, then you think seriously about Baghdad.

But, that said, we are presumably looking for a way to foster opposition inside Iraq, to build up the opposition that's outside Iraq, or up in Kurdistan. And both those jobs are going to take some time to accomplish. So it's not a matter of fighting a two-front war.

BLITZER: It's not going to be easy, also, logistically. We'll put up a map and show our viewers the region that we're talking about. There's the war going on in Afghanistan, over here. But in Iraq, limited air facilities that might be available. Saudi Arabia may or may not, Kuwait may or may not. Turkey may, or may not, be anxious to help the United States in this kind of a war.

ADELMAN: Well, I would say No. 1, that the United States has 1.4 million men under arms, OK?

BLITZER: And women, too.

ADELMAN: And women, under arms, but the men in combat. We have a gigantic military force. We are using, at the most, 1,000 in Afghanistan right now. We have lots more.

No. 2, I do not think we're going to need an enormous force to go and eliminate Saddam Hussein. I don't think the Iraqis like Saddam Hussein any more than we like him.

No. 3... BLITZER: Some have suggested, Ambassador Murphy, 200,000 U.S. troops for a full-scale frontal invasion.

MURPHY: What I know is in '91, we never encountered the really trained Iraqi forces. They were kept back to defend the regime.

BLITZER: The so-called Republican Guard.

MURPHY: Still in existence. How effective they'd be, I don't know. But they know they're doomed along with Saddam Hussein, so I don't expect them to just raise the white flag and walk away, as some of the al Qaeda have done.

ADELMAN: But Ambassador Murphy makes a very good point. They are not necessarily doomed, unless they fight for this man. So, if you announce right ahead, we are playing for keeps this time. If you want to lose your life to fight for Saddam Hussein, go right ahead. But if you don't, you can surrender, just like the armed forces of Iraq surrendered in the Gulf War.

BLITZER: We have to leave it, unfortunately, right there. Ken Adelman, Richard Murphy, always good to have both of you on the program. Thank you very much.

And our Web question of the day is this: can the United States military conduct a war in Afghanistan and a war in Iraq at the same time? You can vote. Go to cnn.com/wolf. While you're there, let me know what you're thinking. There's a "click here" icon on the left side of my Web page. Send me your comments, and I'll read some of them on the air each day. Also, that's where you can read my daily on-line column, cnn.com/wolf.

He stayed silent after a legal loss. Now a victim sodomized by a policeman speaks out.

(BEGIN VIDEO CLIP)

ABNER LOUIMA, VICTIM OF NYPD: I had hoped, after all these years, I would have been able to go on with my life.

(END VIDEO CLIP)

BLITZER: Learn why Abner Louima's life is on hold once again.

And later, the man with surprising news for September 11th victims. Learn about it when Ken Feinberg joins me here, live.

An unprecedented transplant: will it lead to barren women having babies?

And keep an eye on the long-term forecast. El Nino's back.

First, the news quiz. Who gave El Nino its name? Scientists at the National Weather Service? Peruvian fishermen, Christopher Columbus or the explorer Balboa? The answer, coming up.

(COMMERCIAL BREAK)

BLITZER: Welcome back. Checking our justice files: the prosecution in the murder trial of Andrea Yates today began calling rebuttal witnesses. One of them, a police officer who saw Yates immediately after she drowned her five children, testified she showed little emotion. The prosecution is trying to show Yates did know that what she was doing was wrong.

In Fort Worth, Texas, authorities say a horrific hit-and-run case is redefining inhumanity. A 25-year-old woman is under arrest for allegedly hitting a homeless man, then letting him bleed to death over several days while he was trapped in her car's windshield. Police say she parked the car in her garage and ignored the victim's pleas for help until he died. His body was later dumped.

Also from New York, the victim of the notorious 1997 police torture case says he's disappointed. Abner Louima spoke out for the first time since a court overturned the convictions of three New York City police officers. One of them was released on bail after serving almost three years in prison for a crime he says he didn't commit. CNN's Deborah Feyerick reports.

(BEGIN VIDEOTAPE)

DEBORAH FEYERICK, CNN CORRESPONDENT (voice-over): No shackles, no guards, no prison cell. Charles Schwarz, free on $1 million bail.

CHARLES SCHWARZ, FMR. N.Y. POLICE OFFICER: It's hard to explain, but how I feel. It is just so overwhelming right now. It's just a great day.

FEYERICK: The protesters, very few but very loud -- a far cry from the police brutality rallies that rocked New York City in the late '90s, years before anyone imagined Officer Schwarz would be getting a new trial. Last week an appeals court overturned his conviction, saying Schwarz's lawyer at the time, also representing the police union, had a conflict of interest, and should never have represented Schwarz during the torture trial of Abner Louima.

LOUIMA: I had hoped, after all these years, I would have been able to go on with my life. Unfortunately, that is not the case. I will fully cooperate with the prosecutors, federal and state, in any future criminal prosecution regarding what happened to me.

FEYERICK: Louima was brutally sodomized with a broomstick by this police officer inside Brooklyn's 70th precinct station house. Prosecutors saying Schwarz held Louima down. Schwarz saying he was nowhere near Louima when the assault took place. To guarantee the $1 million bond, Schwarz's mom put up her home. The judge advising, if Schwarz violates any of the bail conditions, the house will be confiscated.

UNIDENTIFIED FEMALE: It was great seeing him in a suit, not an orange jumpsuit.

FEYERICK: Schwarz is not under house arrest, but he must stay in New York City. And he's to have no contact with two other officers implicated in trying to cover up the assault.

(END VIDEOTAPE)

Prosecutors (UNINTELLIGIBLE) his wife and the entire family put under a gag order, specifically so they wouldn't go around talking to the press, proclaiming Schwarz' innocence, or talking about the credibility of other witnesses who are expected to testify during this new trial. The judge said the law allows Schwarz to deny the charges against him, and give a brief description of his defense. And the trial is being fast tracked. It is scheduled to start, jury picked and everything. June 24th -- Wolf.

BLITZER: Deborah Feyerick in New York. Thank you for that report.

When we come back, Uncle Sam answers the call for more money. But will it be enough for survivors of September 11th? My next guest may have an answer.

Later, a medical marvel that may one day help some mothers who can't have children. ABC's marching orders for Drew Carey -- what the comic says he's not allowed to show you. And, be ready for stormy skies. Why sunny weather may not be as common where you live. Stay with us.

(COMMERCIAL BREAK)

BLITZER: A U.S. Army spokesman says Operation Anaconda will continue as long as the Taliban don't surrender, or until they're all dead.

You're looking at new images of the war in Afghanistan, obtained by CNN a short while ago. Aircraft and ground troops pressed on with the fiercest battle yet in the war in Afghanistan. Operation Anaconda is targeting Taliban and al Qaeda fighters holed up in the mountainous region near Gardez. CNN Pentagon correspondent Barbara Starr is now reporting that military officials tell her that the U.S. and its partners have killed an estimated 650 al Qaeda and Taliban fighters in the eastern part of Afghanistan during Operation Anaconda.

It will be another week before the Senate judiciary committee votes on the appointment of Judge Charles Pickering Sr. to a federal court seat. The panel's top Republican today asked for and received a delay after Democrats who are against the nomination to reconsider. Senator Orrin Hatch says liberal groups have subjected Pickering to -- quote -- "a lynching."

Almost six months after September 11, recovery workers have removed the bodies of two more police officers from ground zero. Officer John Perry and Sergeant Michael Curtin were killed as they rushed to help when two hijacked planes crashed into the World Trade Center. Their former comrades helped remove the remains.

It's been a nightmarish six months for the families of the people killed in the September 11 attacks. Today they received some rare good news. Officials announced they are expanding a federal victims fund, which prevents a rash of lawsuits.

CNN's Jonathan Aiken has the story.

(BEGIN VIDEOTAPE)

JONATHAN AIKEN, CNN CORRESPONDENT (voice-over): Changes in the compensation fund for victims of September 11 will mean more money for those left behind and more people eligible to claim benefits. The changes follow criticism from families and politicians alike that the original awards being considered weren't generous enough.

KENNETH FEINBERG, SPECIAL MASTER, VICTIM COMPENSATION FUND: The real pressure comes knowing this program better be just and fair, because it really is the only real option open to these families.

AIKEN: With these changes, on average, each victim's family will receive $1.8 million, almost $200,000 more than first proposed. The main criticism of the first plan was in the amount of money set aside for non-economic losses: pain and suffering or loss of affection. Many families didn't think it was enough.

Now each surviving spouse and child will receive $100,000, double what was originally offered. An additional base award of $250,000 per death doesn't change. Other claims based on a victim's lost earning potential will be handled on an individual basis. The changes make more injured civilians eligible for benefits, and dramatically expands the number of rescue workers eligible for compensation, and requires less medical documentation from those filing claims.

(on camera): Surviving partners of unmarried victims -- and that would include fiances or gay couples -- would not be eligible for compensation. Feinberg says the fund cannot supersede differing state laws already on the books.

(voice-over): And eligible families of illegal immigrants who died in the attacks won't be prosecuted just for coming forward to press their claims.

So far, just a fraction of the 3,000-plus victim's families eligible for these awards have applied. Some may never file. Others may have been waiting for these changes to be announce before they do so. And still some may find it hard to equate in dollars the sense of loss that can eased only by time and memory.

Jonathan Aiken for CNN, Washington.

(END VIDEOTAPE)

BLITZER: And for a closer look at the changes, we are joined by now Kenneth Feinberg, the special master of the September 11 Victims Compensation Fund, the man responsible for putting this entire package together.

Mr. Feinberg, thanks for joining us.

You went around over these past few weeks and months, listened to the victims, the families, and heard their complaints. What was the biggest change you made as a result of what you heard?

FEINBERG: Two changes.

First, we doubled the -- as the report says, we doubled the non- economic loss flat amount for every surviving dependent and spouse from $50,000 to $100,000 per dependent. Secondly, we limited the number of collateral assets that would reduce the overall award.

BLITZER: In other words, if someone had a good insurance policy or good benefits, a good 401(k), and was killed in the World Trade Center, you are not going to deduct as much as you would have deducted before?

FEINBERG: That's right. For example, the 401(k) you mentioned. We are not going to deduct that at all. And there are others: Social Security death benefits to the spouse, worker's compensation. We are not going to deduct those the way we would have, so that the net award available for every eligible claimant will be much greater.

BLITZER: So, because, as you know, some spouses, children, family members had complained that, after you deducted some of the so- called collateral offsets, they would wind up with zero.

FEINBERG: That's right.

We also say today that, with very rare exceptions, everybody who comes into the program, even if they do collaterally offset to zero, will get a minimum, a minimum, of $250,000.

BLITZER: The commitment that these people in accepting that money, they have to make a commitment they won't sue anyone, including not only here in the United States, but overseas, Osama bin Laden or anyone else. Is that right?

FEINBERG: Not so. Not so.

BLITZER: All right, explain that.

FEINBERG: They waive the right to sue here in the United States against the airlines or the World Trade Center, the Pentagon, etcetera. They do not give up their right to litigate against bin Laden or any nation harboring terrorists. That they can continue to litigate.

BLITZER: Was that a change that you made?

FEINBERG: No, that was in the original

(CROSSTALK)

BLITZER: That was always part of the same package.

What is your worse-case fear right now: that individuals might not know about this, might not come forward and fill out the paperwork and get the money? FEINBERG: Yes, my biggest concern is the unknown number of families that are out there that, whether they don't know about the program or know about it, but are simply still unable to cope with September 11, they won't come forward.

One of the real challenges, it seems, for me and the program, is outreach: to make sure that every family that's eligible knows about the program, understands the program, and, hopefully, will come into the program as the best available alternative.

BLITZER: You are a lawyer, a well known lawyer here in Washington. Could you make a case for any of these -- any of these victims opting out of your compensation plan and going to litigation, suing someone in the United States?

FEINBERG: No.

BLITZER: Tell me why.

FEINBERG: There are a couple of reasons.

First, the way the statute was drafted, even if I were to convince a family to litigate, they litigate for seven years. Maybe they win. They give me 40 percent as a fee. The liability of the airlines and the World Trade Center has been capped by statute. There is not enough money available to recover under the program, even if they were to win a lawsuit. So the lawsuit option doesn't make any sense.

The other problem with litigating, of course, is, you never forget. You are constantly being reminded day in and day out about the problem of September 11 and the horror of September 11. This program that I'm administering pays individual family members who are eligible within 120 days -- no lawyer's fee, no uncertainty, no delay. It clearly is the best option and one that I hope all of the families will entertain.

BLITZER: How many people do you estimate will be eligible to receive compensation from your fund?

FEINBERG: Fortunately, as you know, the number keeps dropping as they recover or they get a better handle on the numbers.

I think, ultimately, there will be less than 3,000 dead victims of September 11. At one point, they estimated 10,000 -- less than 3,000. I think the number of serious physical injuries -- I mean, terrible burn victims and everything -- will be under 1,000. So I think, really, the serious cases will be somewhere around 3,500 to 4,000 cases.

BLITZER: And that will be translated to how many people getting money? Their spouses, their children, their...

FEINBERG: That's right. It will be the survivor's spouses, their children, perhaps some parents. If it was a young person who was killed without any spouse or any children, the parents will recover. The goal here is to provide a substantial amount of money to those claimants who survived the horror of September 11.

BLITZER: OK, Ken Feinberg, thanks for joining us.

FEINBERG: Thank you very much.

BLITZER: Appreciate it very much. Good luck to you.

FEINBERG: Thank you.

BLITZER: And can a woman's womb outlast her life and help create life? We will tell you about a controversial procedure coming up. And later, the weather may soon be something different than you are used to. And Drew's complaint about his show: why he says he is being censored.

Stay with us.

(COMMERCIAL BREAK)

BLITZER: Welcome back.

A team of surgeons in Saudi Arabia is getting attention for an operation that ultimately failed. Today, they reported the first ever human uterus transplant. The procedure took place almost two years ago. And even though the recipient rejected the new womb, the operation could be a breakthrough nonetheless.

CNN's medical correspondent Rhonda Rowland is following this story that is triggering a medical ethics debate.

Rhonda, first of all, tell us about the woman who received the transplant.

RHONDA ROWLAND, CNN MEDICAL CORRESPONDENT: Well, certainly, Wolf.

This woman was 26 years old and she had had a hysterectomy because of medical complications. The donor was a 46-year-old woman who had to have a hysterectomy, have her uterus removed, because she had a medical complication.

Now, this procedure is very complex. Doctors have been trying to do this since the 1970s. And we have a model here that doctors use to show their patients for what goes on. And right here, you're looking at a side view of the uterus. They have to attach fallopian tubes, the ovaries and also all the way around the organs. So it's very complex.

And, Wolf, as you mentioned, it was ultimately a failure because it only lasted 99 days. But the woman did have two menstrual periods. So doctors are excited that this actually worked.

BLITZER: But yet there are critics who are against it. Why?

ROWLAND: The reason they are against it is, when we talk about organ transplantation, we are usually trying to save someone's live. We are using hearts, livers, kidneys. In this case, it's just a quality-of-life issue, important to many women.

But when you get these transplanted organs, you have to take anti-rejection drugs. That can have a lot of side-effects. So they are concerned about that. Also, Wolf, you have got to remember that, when the first test-tube baby was born, that was very controversial. Now it is commonplace. A lot of times, when these things are new, people are just very concerned. They don't like the idea.

BLITZER: And if they do this procedure again and the womb takes to the recipient, will the woman be able to have a healthy baby?

ROWLAND: Well, the doctors told us they don't know. But, certainly, that is the goal. They say there are women out there who are born without a uterus, women who have medical complications who would just like to carry one pregnancy. And they do believe that this will happen. It is not ready now. It won't be 10 years from now. It will be somewhere in between. But they really do think this will happen.

BLITZER: Rhonda Rowland, thanks for that report. Appreciate it very much.

And when we come back: What will it take it keep late-night host David Letterman at CBS? Money talks. We will tell you how much the networks are offering.

(COMMERCIAL BREAK)

BLITZER: Earlier we asked: "Who gave El Nino its name?" Your choices: scientists at the National Weather Service, Peruvian fishermen, Christopher Columbus, or the explorer Balboa?

Hundreds of years ago, Peruvian fishermen noticed its impact at Christmas time and named it El Nino, which means "the little boy," in honor of Jesus.

A once-every-so-often weather phenomenon that wreaked havoc five years ago may soon be back. Climate experts say condition may be ripe for another El Nino.

CNN science correspondent Ann Kellan joins us now with details -- Ann, welcome.

ANN KELLAN, CNN SCIENCE CORRESPONDENT: Well, it's good to be here.

Forecasters at the Climate Prediction Center are announcing that an El Nino is brewing in the Pacific waters. They are warming up. Coupled with the change in the wind, it shifts weather patterns in many parts of the world. Already Peru is feeling the impact. There is flooding there, fisherman saying they are catching warm water fish now, like shrimp, instead of the usual cold water catch.

Now, remember the last El Nino back in 1997, '98 was a strong one. It hammered California with rain, causing mudslides, $1 billion in property damage. Will that happen again? Forecasters are making predictions. Let's go to the map to see what forecasters are predicting for the next winter. And it will impact the United States -- Wolf.

BLITZER: Well, let's talk specifically.

California, I see a question mark over there.

KELLAN: That's the big question.

BLITZER: What's happening in California?

KELLAN: Well, they want to wait. It is a mild one. This El Nino is milder than the last one. They say they have to look at it for two more months before they know for sure, same with the Northeast and the New England states, another question mark. So there is a little question there. But we will wait.

BLITZER: Now, when you say normal over here, why would this area be normal and this area question mark, wetter down here in the South, and warmer throughout the Midwest?

KELLAN: Look at that big chunk, warmer in the Midwest. It's the jet stream. There is a shift in the jet stream, so that changes the weather. But it does not change the weather all over the world. It just changes it in pockets.

You see that in different places in the world. It becomes dry in Indonesia, for example, where it is normally wet. But that doesn't mean it is always going to be different everywhere else.

BLITZER: And this whole area of Texas, Oklahoma...

KELLAN: Question mark.

BLITZER: ... another question mark. We just don't know.

KELLAN: Well, that's because it is a mild one this time, so they can't really say yet what a mild one will do. They say sometimes during mild El Ninos, there will be no change in California, for example, where we saw what happened in '97, '98. So they want to watch the water, see how much it warms up before they know.

BLITZER: I'm sure people living all along the coastline over here are asking: What about hurricanes?

KELLAN: Yes. And during El Ninos, there are fewer hurricanes and tropical storms. But, if one hits land, then it could be just as damaging and devastating. So a fewer number is good.

Now, New England gets more winter storms, because look at all that moisture in the Southeast. During the winter, that moves north. And that causes those Nor'easter storms that you hear about.

BLITZER: Right over there.

KELLAN: Right. So that is one thing they do know about the Northeast and New England: more winter storms. So get ready for that.

BLITZER: Ann Kellan, helping us understand El Nino.

KELLAN: Yes.

BLITZER: I understand more about it right now.

KELLAN: Well, good.

BLITZER: Thank you very much.

KELLAN: A pleasure.

BLITZER: And Gary Condit's wife, Carolyn, got some bad news today from NBC. She sent a letter demanding the network apologize for a recent episode of "Law & Order" that depicted a politician and a missing aide. But the show's producers rejected Mrs. Condit's demands. When asked what would happen next, her attorney said -- quote -- "We either go away or file a lawsuit."

Mrs. Condit's story certainly isn't the only media controversy to make news lately. ABC has reportedly told Drew Carey to rewrite an episode that pokes fun at airport security.

Jason Gay has been keeping track of all of these media controversies as well as lot of others. He is a senior editor with "The New York Observer." He joins us now live.

Jason, what do you make, first of all, of the Drew Carey flap that is going on?

JASON GAY, SENIOR EDITOR, "NEW YORK OBSERVER": It is a strange situation, Wolf, because, you know, before 9/11, an airport security joke would have been one of the more benign jokes you could possibly make on a sitcom. It was, in fact, a sitcom constant. So it really shows how sensitivities have changed since then.

BLITZER: Is it likely to go away? How do they resolve these kinds of issues?

GAY: Well, it is a creative difference. These kind of things crop up now and again. But the network is holding pretty firm on this one. They that think it is a rather sensitive issue, given the current climate, to be making that kind of joke.

BLITZER: What about the whole David Letterman? We are now hearing $31 million being dangled in front of him by CBS if he stays at CBS. Can they make any money if they pay him that much money?

GAY: Well, I want to correct you. It's actually $31.5 million, that big half-million making the huge difference. And ABC's offer is, I think, $31 million itself.

Yes, of course CBS can make money. The show is enormously profitable for them. There is also a lot of discussion at ABC at to what sort of revenues it can generate. So it is a definite revenue earner.

BLITZER: You probably saw that letter to the editor that Dan Rather of CBS wrote in "The New York Times" yesterday. Among other things, he wrote this: "Anybody who cares about the state of the world and our country had better hope that what Ted Koppel does for a living will never go out of date or out of fashion and that there will always a home for it."

How much pressure is ABC under right now to keep Ted Koppel and "Nightline" happy?

GAY: Well, I think the pressure is actually the other way. I think the pressure is for them to make some sort of deal with David Letterman, for all their trouble. They have really gone out on a limb and they have alienated their news division and they have alienated their biggest star, or one of their biggest news stars, in Ted Koppel. And they have really created some rift with the news department.

And now they really have to get something to show for it, because if they don't get Letterman and they don't find some sort of alternative, they are really in trouble.

BLITZER: Well, have they made, as far as you can tell, a bottom- line decision that, even if Letterman doesn't come to ABC, they are going to get rid of "Nightline" and find some other entertainment program there that might do better in terms of advertising and demographics?

GAY: Well, according Letterman's people, it was critical to Mr. Letterman that he was not going to be the reason that "Nightline" got driven off the air, that he didn't want to be responsible for the ending of Ted Koppel's term on "Nightline." So ABC essentially had to say, "We are looking to make a move regardless of David Letterman coming over here or not." So, yes, they have sort of put themselves out there.

BLITZER: So what happens? What do you surmise might happen to Ted Koppel in the long run?

GAY: Well, it is a hard thing to predict. He has been planning an exit strategy for some time. He has been rather open about the fact that he has cut down on the amount of time that he's put over there. He is down to three nights a week. He is certainly still a huge contributor to that program and the face of that program.

But there had already been rumblings the he was looking to make a move off of it. I can't imagine him away from "Nightline," but, again, you could see him taking a role at a network in terms of doing some sort of, like, news magazine program. But it would probably be something based around him. I can't see him joining another news magazine as a single contributor.

BLITZER: And, very briefly, Cokie Roberts' announcement that she will leave in November "This Week," the Sunday morning public affairs program. GAY: Yes, that's right. That was prompted by speculation that ABC is going to make a move on Sunday mornings, bringing in people like George Stephanopoulos and Claire Shipman to be the new co-anchors of that program. Ms. Roberts had been speculated to be someone who was going to be stepping down before that, but that was prompted because of the Stephanopoulos and Shipman talk.

BLITZER: OK, Mr. Gay, thanks for joining us. Good to have you on the program. Appreciate it very much.

Let's go to New York now and get a preview of "LOU DOBBS MONEYLINE," which begins right at the top of the hour -- Lou.

LOU DOBBS, "LOU DOBBS MONEYLINE": Thank you, Wolf.

President Bush wants CEOs to be held accountable. Senator Jon Corzine is focusing on accountants. He will be here to tell us about his plans. General David Grange, CNN military analyst, will be here on the intensifying combat in Afghanistan -- and NASA administrator Sean O'Keefe on the space shuttle's mission to repair the Hubble telescope and the future of NASA. We will also be joined by the author of the new book on Jesse Jackson: "Shakedown." And Alan Greenspan talks and stock prices fall.

We'll have all of that and a lot more for you at the top of the hour. Please join us.

Now back to Wolf Blitzer -- Wolf.

BLITZER: Thank you very much, Lou. We certainly will.

And can the U.S. military sustain a two-front war in Afghanistan and Iraq? We will have the results of our Web poll coming up. And labeling Palestinian suicide bombers as terrorists, not all our viewers agree. We will read your e-mail right after this.

(COMMERCIAL BREAK)

BLITZER: Now results of our "Web Question of the Day": Can the United States military conduct a war in Afghanistan and a war in Iraq at the same time? Look at this: 75 percent of you so far say yes. A reminder: This poll is not, repeat, not scientific.

But time to hear from you on the Israeli-Palestinian fighting.

Joseph e-mails us with this: "My problem is that the media continuously refer to Palestinian terrorists as militants. This is exactly the same thing as calling bin Laden a militant. The Palestinian Authority is a terror organization. And even if you don't believe that, you cannot avoid the reality that they harbor terrorists."

But Adly in Cairo, Egypt writes this: "We in the Arab and Islamic countries do not understand why the American media consider the Palestinian suicide bombers terrorists when we consider them heroes defending their freedom against Israeli occupation." And switching gears, on the changes to ABC's lineup, John writes: "ABC has wrecked my late-night TV by messing around with Ted Koppel's show. And now I have learned that Cokie Roberts will be leaving her Sunday morning slot. My Sundays consist of early mass, breakfast, Cokie Roberts, and then Wolf Blitzer from noon until 3:00. Please reassure me that you're not giving up just yet."

John, rest assured, I'm not going anywhere. I will be right here.

And I will be back in one hour with the CNN "War Room." My guests have a unique insight about the troops fighting the war against Afghanistan.

Until then, thanks very much for watching. I'm Wolf Blitzer in Washington. "LOU DOBBS MONEYLINE" begins right now.

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