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CNN LIVE SATURDAY

Jobs Market Up 308,000 Jobs; Michael Jackson's Attorneys Seek to Add Evidence to Grand Jury Proceedings; Hoaxes Not Unusual for Police; Tips to Save Money in Paris

Aired April 3, 2004 - 12:30   ET

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

FREDRICKA WHITFIELD, CNN CORRESPONDENT: It's Noon Fort Bragg, North Carolina, 11:00 a.m. in San Antonio. I'm Fredricka Whitfield and the CNN center in Atlanta. Welcome to CNN LIVE SATURDAY.
Ahead this hour, possible new targets for terrorists: how travel by train and bus may be affected.

Also:

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Do you know who to trust while you're there?

UNIDENTIFIED MALE: You trust the ones wearing American uniforms?

(END VIDEO CLIP)

WHITFIELD: On the front lines in Fallujah, Iraq. American soldiers, just back home, talk about life on duty in Iraq's most dangerous city.

Later, riding along with the tornado trackers to one day help us better prepare for nature's fury. But first, the headlines.

A police search is on in the Kansas City area. Officers are looking for a suspect in the shooting deaths of two medical workers overnight. The victims were killed while they sat at the Edwardsville, Kansas, fire station.

The battle's on this weekend against a growing wildfire in Colorado and now the weather is a key ally for firefighters. It's sleeting and the humidity has increased. The blaze, near Fort Collins, has burned nearly 9,000 acres. Right now, the flames threaten several dozen homes.

Spain's bullet train is running again. Spanish officials say a bomb found on the country's high speed rail track was the same type as those used in last month's terror attack in Madrid. The unexploded bomb was discovered yesterday on tracks linking Madrid and Seville, but officials say it's too early to say whether it's connected to the March 11 attacks on commuter trains in the Spanish capital. Those attacking killed 190 people.

More than a year after the opening salvos in the war in Iraq, the reasons for going to war are still challenged. The time, it's Colin Powell blaming the CIA for providing him we erroneous information leading up to the war. The U.S. secretary of state says he now believes that information he used in his dramatic testimony to the United Nations' Security Council, in February of last year, was based on flawed sources.

Dana Bash is keeping track of the developments and joins us now, live -- Dana.

DANA BASH, CNN WHITE HOUSE CORRESPONDENT: Well Fredricka, it certainly was a high moment of drama, it was a 90-minute presentation that the secretary of state made. Well, we all remember in days, excuse me -- months leading up to the war in Iraq and it was intended to try to convince the United Nations that Iraq did have weapons of mass destruction and programs. Now, he had gone to the CIA, poured over intelligence for days and he came out and said, essentially, that there are sources that did back up the fact that Iraq had mobile weapons labs that were intended to make weapons of mass destruction.

(BEGIN VIDEO CLIP)

COLIN POWELL, U.S. SECRETARY OF STATE: One of the most worrisome things that emerges from the thick intelligence file we have on Iraq's biological weapon is the existence of mobile production facilities used to make biological agents. Let me take you inside that intelligence file and share with you what we know from eyewitness accounts. We have firsthand descriptions of biological weapons factories on wheels and on rails.

(END VIDEO CLIP)

BASH: Now, the secretary of state went on to show pictures and give a very detailed explanation of why he thought that those weapons labs were intent or -- that the mobile trailers were intended to make weapons. But last night, the secretary told reporters that he now does think that that intelligence was flawed, it wasn't solid enough and he says he wants to get to the bottom of why and wants the new intelligence commission -- the bipartisan commission appointed by the president to certainly find that out.

Now, this is certainly the first time that the secretary has been this explicit conceding that the information backing up that major presentation was probably flawed but, the CIA director, on the year anniversary of that speech, at a address in Georgetown went through reasons why he also was not quite sure whether or not the sources were actually accurate. He said there was no consensus at this time whether or not they actually did know for sure whether those mobile weapons -- mobile trailers, I should say, were made for weapons. So this is something that's an ongoing debate, but certainly the fact that the secretary of state, who has put out essentially, as one of the most credible figures in the administration with this CIA director sitting right behind him, the fact that he is saying that the CIA needs to figure out why they perhaps gave him -- the fact that he is saying that CIA needs to figure out why they, perhaps, gave him flawed information is yet another wrinkle in this ongoing question of why weapons of mass destruction, a major case for war in Iraq have not yet been found -- Fredricka. WHITFIELD: All right, Dana Bash at the White House. Thanks very much.

Well, now to the terror front and a troubling new concern about a possible plot to attack trains and buses in the U.S. word of the warning has transit officials across the country beefing up security. Elaine Quijano is with us now from one of the nation's busiest train terminals, Union Station in the nation's capitol -- Elaine.

ELAINE QUIJANO, CNN CORRESPONDENT: Hello to you, Fredricka. Actually, we're just down the road from Union Station. But first of all, it should be noted that this new threat information is uncorroborated, that is according to federal law enforcement sources. How ever, at the same time, they acknowledge that there is a level of concern and why the FBI and the department of Homeland Security sent out a message basically to agencies and police forces nationwide that there is a possible plot of sorts targeting buses and rail lines.

Now specifically, this possible plot calls for using improvised explosive devices, perhaps made out of ammonium nitrate, fertilizer, and diesel fuel. Now, according to the message, the explosives might be hidden in luggage and carry-on bags and it could include duffel bags or backpacks.

Now, this information is very general. There's nothing to indicate specifically where or when an attack might happen only that it might be this summer in a major U.S. city. Now, the message was sent to federal, state, and local police agencies. It was not meant to be a public warning. But, this information comes just a few weeks after the terrorist train bombings in Madrid. However, officials say there's no connection between that and this particular message that was released late this week. Now, nevertheless, rail officials are being asked to take precautions to beef up security, to step up patrols, basically, continue with and enhance those security measures that were implemented, many of them, in the days after September 11.

Now, in some areas, for instance here in Washington, D.C., local officials are asking actually for the public to help, to be aware, to be vigilant. Here, I can tell you, Washington, D.C.'s metro subway system has a campaign going on right now called "Hey, is that your bag" asking people who are onboard trains to keep an eye out and if they see a bag that appears to be unattended to ask those around whether or not that bag, in fact, belongs to them. So, there's some of the precautions that are being taken nationwide. Certainly a lot of concern over this, however at the same time, it's very important to note that officials, or sources are saying that this information is not corroborated -- Fredricka.

WHITFIELD: All right Elaine Quijano from the nation's capitol. Thanks very much.

The mission in Iraq is marked by more violence and a key arrest by coalition forces. The detained the deputy of a powerful Shi'ite cleric in the Sunni Triangle. The cleric has said he supports Hesbula and Hamas and had condemned the United States. An Iraqi police chief and his drive are gunned down in a town south of Baghdad. Witnesses say the gunman was wearing an Iraqi police uniform. Another police chief was killed in Najaf yesterday.

And, another rocket attack in a Baghdad neighborhood, this time an Iraqi home was hit killing one person and wounding three others.

The coalition is playing close attention to Fallujah. U.S. Marines were reportedly plotting retaliation for the attack on four American security contractors, this week. The Marines are replacing American Army soldiers who have just returned state side after duty there.

David Mattingly went to Fort Bragg to hear the war stories from the 82nd Airborne.

(BEGIN VIDEOTAPE)

DAVID MATTINGLY, CNN CORRESPONDENT (voice-over): The limp is so slight it's hard to notice, but it is the only outward sign that combat Medic Sergeant Chris Gillette carries two pieces of shrapnel in his left leg, painful reminders of his hazardous duty in the Iraqi town of Fallujah.

SGT. CHRISTOPHER GILLETTE, U.S. ARMY 82ND AIRBORNE: Long periods of boredom, followed by short periods of terror.

MATTINGLY: Gillette and others from the Army's 82nd Airborne just returned home from Fallujah only to find the dangers they left behind again making headlines.

STAFF SRG. JOHN YOUNG, U.S. ARMY 82ND AIRBORNE: Because you hate that another person had to die like that -- you know, just trying to do their job.

MATTINGLY: The soldiers describe Fallujah a place so dangerous that convoys drive thought the town at breakneck speeds. You never venture out except in large groups, and you never, never close your eyes.

TORY WHITNEY, U.S. ARMY 82ND: You're looking at the ground, looking at the buildings, you're looking for people that just make you feel uncomfortable.

MATTINGLY: Contact with Iraqi civilians is frequent and soldiers say, almost always pleasant. But the spermatic and unpredictable attacks make true friendships difficult and unwise.

(on camera): Do you know who to trust while you're there?

GILLETTE: You trust the ones -- you trust the ones wearing American uniforms.

MATTINGLY (voice-over): But, despite the unrelenting tension, these photographs are among the memories they bring home: Waving children. Busy markets and lines at local gas stations, signs of a nation struggling to recover.

(on camera): From what they could see, soldiers from North Carolina's Fort Bragg say that life for Iraqis in Fallujah seems to be getting better. The same could not be said however, for American troops still there. Despite their best efforts, soldiers returning home say that for American soldiers, Fallujah is not getting any safer.

(voice-over): Three of the soldiers are combat medics in their line of work, they say Fallujah remains the busiest place in Iraq.

YOUNG: The unknown, you just kind of become -- you expect the unexpected, you just wait for something to happen.

MATTINGLY: And the months of stress have taken a toll. Loud noises, even thunder takes them back to the front lines.

GILLETTE: I'd hear thunder and my adrenaline -- I could feel the butterflies and adrenaline started happen.

MATTINGLY: The future of Fallujah is in the hands of U.S. Marines who are taking over the mission as the Army rotates out. The departing soldiers leave with this simple advice. Never let down your guard.

David Mattingly, CNN, Fort Bragg, North Carolina.

(END VIDEOTAPE)

WHITFIELD: The 9/11 Commission faces a big week ahead. Its lawyers begin pouring over a mountain of newly released documents of the Clinton administration on Monday and Condoleezza Rice's long awaited public testimony is scheduled for Thursday.

We go to Washington now, and "Time" magazine correspondent Timothy Burger is joining us now to discuss some of the developments.

Good to see you Timothy.

TIMOTHY BURGER, "TIME" MAGAZINE CORRESPONDENT: Thanks for having me.

WHITFIELD: All right, will Rice's testimony scheduled for Thursday likely be upstaged now by these newly released documents from the Clinton administration's foreign papers and as well as now, this noted, I guess, recognition from Colin Powell saying that he believes the CIA intelligence that he received before he went before the U.N. is now flawed?

BURGER: Well, I really don't think that either of those things will upstage Condi Rice's appearance on Thursday. It's long awaited and it's very crucial to understanding the time frame, both years and months that led up to 9/11. Those new documents may turn out to be important, but at this point in time, they're -- it's sort of unknown exactly what's in them. They are obviously from the previous administration and I think that the Clinton administration people hope that it will shows greater efforts by President Clinton, than maybe publicly known so far, to get rid of Osama bin Laden and al-Qaeda.

Colin Powell's comments today or yesterday, I should say, are important but really the facts underlying them have been known that the intelligence regarding those trailers that were alleged to be chem bio weaponry labs, but may actually have been just for producing weather balloon hydrogen type things. Those facts were basically known that that intelligence has come into serious question. So, it's obviously politically important when Colin Powell says something like that, but factually, not terribly new.

WHITFIELD: And now with Dr. Rice and her scheduled testimony for Thursday, is it likely that it will be a Q and A that's straight to the point, directed at the discrepancies between what she has said privately and publicly versus what Richard Clarke has said publicly and in his book?

BURGER: It will, in some ways, be some comparison of what Richard Clarke said and some of the various statements that Ms. Rice has said, but really it will come down to a couple of crucial points and one is: What kind of plan was the Bush administration putting in place to get rid of al-Qaeda and Osama bin Laden internationally in Afghanistan and that sort of thing? And what was done domestically within the U.S. borders during the time, the summer of 2001, when there was a big threat spike that the intelligence community was receiving and that was giving George Tenet, at the CIA, great concern? What was done domestically in that period? Those are two of the, sort of, key issue areas that the commission will inquiring of Dr. Rice about.

WHITFIELD: And is it your feeling that Dr. Rice will be probed about why, in a scheduled speech that was to have been on September 11th, the day of the tragedies, that in her speech, she was going to be talking about missile defense and that al-Qaeda was really nowhere on her script, this reportedly. Will the question be asked: If indeed al-Qaeda was such a threat and this administration knew about it during the handover; why wasn't this going to be a topic during her speech?

BURGER: I'm sure that that sort of thing will arise because if, indeed as reported, this speech was supposed to lay out the administration's national security agenda, you would wonder why, perhaps, some of those al-Qaeda issues were not more prominently mentioned. However, of course, the administration has not made public the whole text which might, in fact, be to their benefit, but I'm sure they will make that decision for themselves. But one of the things that has been quoted out of the speech does seem relevant and does suggest that some aspects of terrorism were a big priority and that is, the concern about, say, WMD being thrown in the subway or on mass transit systems and obviously that would be a terrorist act. So, whether or not they prominently mention Osama bin Laden and al-Qaeda, I think that they could argue that in other more general ways, they were very concerned about terrorism domestically.

WHITFIELD: All right. Timothy Burger of "Time" magazine, thanks very much.

BURGER: Thank you.

WHITFIELD: Crunching the numbers: The latest job figures paint an encouraging picture for the U.S. economy. We'll ask an expert if may be too good to be true.

Plus:

(BEGIN VIDEO CLIP)

Getting in the path of the tornado when it's moving 20-plus miles an hour and closing in. When it's only a half a mile away is incredibly dangerous. Lots of things can go wrong.

(END VIDEO CLIP)

WHITFIELD: Living on the edge in search of scientific discoveries.

And in search of a national champion: Live in San Antonio for a final four preview.

(COMMERCIAL BREAK)

WHITFIELD: Georgia Tech takes on Oklahoma State. Duke meets Connecticut, the NCAA Final Four Showdown plays out tonight at San Antonio's Alamo Dome and that's where we find our Larry Smith with the very latest.

Hey, Larry?

LARRY SMITH, CNN CORRESPONDENT: Hi Fredricka. How are you?

So right, it's a gorgeous day here in San Antonio where more than 40,000 fans will make their way into the Alamo Dome for tonight's national semi-finals. The first game, Oklahoma State and Georgia Tech and then the nightcap, two of the nation's power programs, UConn and Duke.

Now, the Blue Devils have lost the last three meetings to UConn, including the 1999 title game. But the key tonight though, will be how Husky center Emeka Okafor, the consensus all-American and possibly the top pick in the June NBA draft has battled through back and neck injuries all through the month of March in tournament play. But his coach, Jim Calhoun says he is healthy and is ready to play tonight versus Duke.

Now, the Blue Devils, meanwhile, enter the game as the lone top seed still standing though they have injury issues, as well. Senior point guard, Chris Duhon, who was a starter on the 2001 National Championship team, is still nursing bruised ribs he suffered three weeks ago, an injury that's reduced his minutes and cut his scoring average in half during the playoffs. Even if he is healthy, many view Duke as the underdog versus the Huskies.

(BEGIN VIDEO CLIP) UNIDENTIFIED MALE: We're used to big time games and tomorrow is a big time game and -- I mean, it's going to have that atmosphere, it already has the buzz -- you know, the media's talking about it, so we're going to be ready to play.

(END VIDEO CLIP)

SMITH: In the other game, it's Georgia Tech and Oklahoma State. Tech guard B.J. Elder will start on that sprained ankle that he suffered last weekend in the regional semi-final win over in Nevada.

The Cowboys have won 31 games and can with two more victories can make 68-year-old Eddie Sutton the oldest coach ever to capture an NCAA title.

Certainly it's a special weekend for Oklahoma State and its fans and everybody back on campus in Stillwater. Three years ago this program weathered the horrific, tragic plane crash that killed ten members of the basketball program, including two players. That event, the coach says, changed his life forever. Also, Cowboys point guard John Lucas transferred OSU last summer from Baylor in the midst of the scandal that followed after the murder of his teammate's Patrick Dennehy. Certainly Fredricka, this is a team that knows all about overcoming obstacles. Let's go back to you.

WHITFIELD: Well, it's nice they get to celebrate something like this after all they've been through.

All right, Larry Smith, thanks very much, from San Antonio.

SMITH: Sure.

WHITFIELD: Freddy Adu, soon to be a household name. As his D.C. United soccer team charge on to the field this afternoon, it's the professional debut for this 14-year-old. Making Adu the youngest pro in any American sport in a century. Adu has a reported half million dollar contract with the D.C. United, plus million dollar deals with Nike and Pepsi. Officials at Major League Soccer hope that Adu stirs interest in the game in the United States.

CNN sat down for an extensive conversation -- extensive rather, conversation with Freddy Adu and we'll bring you that coming up in our 2:00 Eastern hour.

The Michael Jackson case gets even more confusing. His defense team makes an argument over evidence, that story straight ahead.

Plus, nearing judgment day for a mother charged with killing her children. She maintains god made her do it.

And, how the scientist, who put the lives on the line, change the way we look at tornadoes?

(COMMERCIAL BREAK)

WHITFIELD: One of the darkest days in U.S. weather history took place 30 years ago, this week. A super outbreak of tornadoes tore across the South and Midwest. One massive storm unleashed scores of tornadoes, some with winds at 270 miles per hour. More than 300 people were killed, thousands were injured. Meteorologists say the outbreak taught us that tornadoes go up and down steep hills and touchdown where major rivers meet.

Scientists and meteorologists are still trying to learn more about how tornadoes form, and they've just have a unique view inside a twister courtesy of pictures from a "National Geographic Society" storm chaser. More from Femi Oke.

(BEGIN VIDEOTAPE)

FEMI OKE, CNN CORRESPONDENT (voice-over): Tim Samaras is being chased by a tornado. He's just 80 seconds away from the vortex, all in the name of research. Usually he's doing the chasing, a passion that began many years ago.

TIM SAMARAS, TORNADO CHASER: When I was six or seven years old, I watched the "Wizard of Oz," of all things, and was really fascinated by that big, black, mysterious tornado.

UNIDENTIFIED MALE: It's twister. It's a twister.

SAMARAS: I love going out and chase storms, I've been doing so for the last 15 to 20 years.

OKE: What started off as fun had turned into pioneering research. Really little is known about what actually happens inside a tornado. Samaras and his storm chasing partners, are determined to find out. Using specially designed probes they can collect weather information, monitor and even photograph the inside of the twister. But, to get all of the data, he has to intersect a tornado.

SAMARAS: Getting in the path of the tornado when it's moving 20- plus miles an hour and closing in, when it's only a half a mile away, it's incredibly dangerous. Lots of things can go wrong.

UNIDENTIFIED MALE: Tim, we don't have time.

Don't have time. Don't have time. Seriously.

OKE: In a tiny hamlet of Manchester, South Dakota, telephone poles are being torn out of the ground and houses blown to pieces. The tornado chasers are in their element. But, the real excitement is still to come.

UNIDENTIFIED MALE: Oh my gosh. It's amazing! This is amazing!

OKE: Amongst the debris, the weather probes are in intact.

In his arms, Samaras is carrying the most up-to-date knowledge of how twisters are made. The camera probe was battered and broken. The tornado chewed it up and spat it out, but seconds before it died, it took a couple of shots. Years of hard work, and a little luck resulted in a sight never witnessed before. The closest ever pictures taken of a tornado in action.

But, Samaras wants to get even closer. He's already working on a new camera probe.

SAMARAS: I'm going to put about seven video cameras on the inside of this probe along with a couple of digital still cameras and it's my hope and intent to get that dropped into the path of a violent tornado and hopefully we'll be able to see some imagery from the inside.

OKE: Only a veteran tornado chaser could smile in the face of such certain danger.

Femi Oke, CNN, Atlanta.

(END VIDEOTAPE)

WHITFIELD: The economy may be on the rebound if you look at the latest job numbers from the U.S. Labor Department. After the break, we'll find out if looks may be deceiving.

Plus, Michael Jackson's lawyers say they have evidence proving his innocence.

Still ahead:

(BEGIN VIDEO CLIP)

SHARON OSBORNE, OZZIE OSBORNE'S WIFE: As usual with the Osborne's, you know, you never know what's going to happen next.

(END VIDEO CLIP)

WHITFIELD: Another family trauma. Why Kelly Osborne's behavior has her parents opening up on "Larry King Live."

(COMMERCIAL BREAK)

WHITFIELD: Here are the headlines at the half hour. More backtracking on the issue of Iraq's alleged weapons of mass destruction. U.S. Secretary of State Colin Powell tells reporters that he now believes his testimony last year before United Nations Security Council was based on flawed sources provided by the CIA. It was a key event in the lead-up to the Iraq War.

An accused kidnapper in Washington state is heading to court today. Christopher Larson is scheduled to be arraigned several hours from now in Seattle. He was arrested on charges of kidnapping a 9- year-old girl demanding ransom.

The girl was found safe Thursday night after the suspect allegedly led police on a high-speed chase.

And in the Middle East, Israeli troops shot dead an armed Palestinian near a West Bank settlement. Israel said he was suspected in an overnight shooting that left an Israeli settler dead and his teenage daughter wounded.

In his radio talk today, President Bush hailed new numbers showing the economy created jobs at a barn-burning rate in March. We'll talk to an expert about the strong growth in a moment but first financial correspondent Peter Viles.

(BEGIN VIDEOTAPE)

PETER VILES, CNN CORRESPONDENT (voice-over): At last, good news on jobs. The government says that with 308,000 new jobs in March, a big surprise to investors, the best job numbers in almost four years.

PHIL FLYNN, BOND TRADER: It's almost like this is missing piece of the puzzle. The ship has come in and everything has changed. And so we're living in a new world, so happy Easter, I guess.

VILES: Seventy-one thousand new construction jobs last month; 47,000 new jobs in retail, boosted by workers returning after the California grocery strike.

The jobless rate did tick up to 5.7 percent, but most economists agreed the labor market is improving.

CHARLES LIEBERMAN, ADVISORS FINANCIAL: There's no question in my mind that the job market is getting substantially better. And it's not just this month alone taken out of contest. You've got to put it into context. All of the other data on the economy has been strong for quite a while now.

VILES: Over the first three months of the year, half a million new jobs. That's a pace of 2.1 million new jobs per year. Though many caution not to read too much into a single report, that still shows plenty of slack in the labor market.

WILLIAM DUDLEY, GOLDMAN SACHS: While the headline payroll number was very gratifying, especially to the White House, underneath the report, things were less robust.

For example, total hours worked actually slipped a tenth of a percent this month and there wasn't much in the way of wage growth, up only a tenth of a percent. So average hourly earnings are not growing very fast.

VILES: And for nearly 15 million Americans the job market isn't working at all: 8.3 million are unemployed; 1.6 million want a job but don't qualify for unemployment; 4.7 million work part time but want a full-time job. That's 14.7 million.

(on camera) One other headline in this report. That brutal slump in manufacturing employment finally came to an end in March. After 43 months in a row of lost jobs, manufacturing employment was flat in the month of March. No jobs lost. No jobs gained. All in all in this job market, that was good news.

Peter Viles, CNN, New York.

(END VIDEOTAPE)

WHITFIELD: Well, March saw the largest jobs growth since the dot-com bust of 2000. Can it be sustained?

Rajeev Dhawan is director of the economic forecasting center at Georgia State University in Atlanta here.

Good to see you. In person. Finally.

RAJEEV DHAWAN, GEORGIA STATE UNIVERSITY: Thank you.

WHITFIELD: All right. Is this too good to be true? Very encouraging. Jobs creation, or at least a growth in payroll.

DHAWAN: Definitely very encouraging. I think the economy was stuck in the first gear. Our income numbers were looking good, but the jobs were not there. But now it seems like we've gone to the third gear.

WHITFIELD: Well, what happened?

DHAWN: I think finally the corporate sector is taking some risks. You know, they're beginning to say, "OK, we now need to invest some money," which means hiring. And they're beginning to do that.

I was beginning to hear some, you know, anecdotal signs of that, you know. So...

WHITFIELD: Is there an indicator of which industries are enjoying the increase in paychecks? For example, like air transportation is one. Healthcare another. What might be the others?

DHAWAN: Transportation may be good overall, but maybe in the local economies it's not doing too well. So biotech does very well. Manufacturing has come back.

We were losing 100,000 jobs just a year ago. This time, at least didn't lose any. And these are high paying jobs.

So when I look at the numbers in the terms of, like, high paying versus low paying jobs, I saw a turn around. There were also high paying jobs being created this time, not just the low paying ones.

WHITFIELD: Now I understand, we all know the dot-com, you know, industry's really hurt, you know, a couple of years ago. But I understand there may be a turn around.

Are your sources giving an indication that perhaps they may be encouraged by some of these new numbers?

DHAWAN: Yes. The technology spending is up, and that's actually a good sign. But that's also because of the last two years they did not spend any money. So they're beginning to spend it to make up for what they didn't do.

The issue would be going forward, there are some road bumps in the road. The oil prices are very high. If they end up being $40 and more and stay there for a couple of months, that's going to hurt this job creation.

At the same time, this Iraq stuff is still in people's, you know, in the psyche. And the consumer confidence is a tad low. It went up, came down the last two months. Hopefully, it will go up.

As it keeps on going up, that's going to be a good signal to the corporate executives that, hey, people are going to demand our products. Maybe we should go ahead and invest, produce more. Hopefully, we can sell more.

WHITFIELD: You see that there are reasons for momentum throughout the year. Might it be fairly gradual or are we going to see this same kind of pace, perhaps keep up for awhile, maybe even through election day?

DHAWAN: I would say one thing, the pace that we saw last month was very high. The month before that was very low. The month before that was the normal one.

So if we take the average, it's 160,000, 70,000 a jobs a month. That's very good. Of course, it's not as good as the late '90s where it was a quarter million jobs a month.

WHITFIELD: Yes.

DHAWAN: We're not going to achieve that.

WHITFIELD: Well, at the same time, the contradiction seems to be that the unemployment rate did pick up a percentage point or, you know, a tenth of a point from now at 5.7.

DHAWAN: I would say one thing. The 5.6, 5.7 is still pretty much the same number. I would caution people at this time not to just -- don't just look at the unemployment rate.

Look at the number of jobs created on an average for the last three months and look at the quality of those jobs. And they will do much better by that math than by just looking at the unemployment rate or just the, you know, some other indicators.

WHITFIELD: All right. Well, we like to hear good news, and so far, this sounds pretty good.

DHAWAN: It's good.

WHITFIELD: Rajeev Dhawan, good to see you in person.

DHAWAN: Thank you.

WHITFIELD: Well, jurors say they were close to a guilty verdict when Judge Michael Obus declared a mistrial in the case of two former Tyco International bosses. The judge cited outside pressure on a juror.

Ex-CEO Dennis Kozlowski and former CFO Mark Swartz were accused of looting $660 million from the firm.

Sources say juror No. 4, right there, received a coercive letter. She had been the center of attention after witnesses say they saw her flashing an OK sign to defense lawyers earlier.

In other legal news, a grand jury continued hearing testimony in the Michael Jackson case this week. Jackson's lawyer says he wants the panel to see new evidence.

They also heard from the boy leveling child molestation charges against the singer.

Frank Buckley updates us on the case.

(BEGIN VIDEOTAPE)

FRANK BUCKLEY, CNN CORRESPONDENT (voice-over): Michael Jackson attorney Ben Brafman carried binders that he said contained more than 100 items of so-called exculpatory material, things that would cast doubt on Jackson's guilt.

In court, Brafman told Judge Rodney Melville the material was headed to the grand jury hearing testimony in the case. "There is a wealth of clearly exculpatory material," Brafman said.

This week, witnesses, who were shielded from view as they arrived, testified before the grand jury as the prosecution attempted to make its case for indictments against Jackson.

Among those testifying, Larry Feldman, who has counseled the accuser and his family. The boy himself and his psychologist.

Brafman argued that prosecutors have dragged the feet in providing other items contained in search warrants that would help Jackson's cause before the grand jury.

BENJAMIN BRAFMAN, ATTORNEY FOR MICHAEL JACKSON: And the objective was and is and will continue to be that we try and keep a level playing field.

BUCKLEY: Brafman also revealed Jackson attorneys are seeking records related to this 1999 lawsuit filed by the accuser's mother against J.C. Penney after loss prevention agents accused the boy of shoplifting. Charges were dismissed, and the family received more than $137,000 in a settlement.

Brafman and Jackson attorney Mark Geragos said, among other things, they were after medical and psychiatric reports on the accuser and his mother.

Jackson supporters, meanwhile, were on hand again but in fewer numbers. The pop star himself, who was in Washington this week to receive a humanitarian award, wasn't here at all.

(on camera) District attorney Tom Sneddon wasn't here, either. He was appearing before the grand jury seeking indictments against Michael Jackson.

Jackson attorney Ben Brafman said, however, that if Sneddon doesn't present all the potentially exculpatory information to the grand jurors, he will seek to have any possible indictments thrown out.

The next court date is set for April 30.

Frank Buckley, CNN, Santa Maria, California.

(END VIDEOTAPE)

WHITFIELD: Drug problems hunt Ozzy Osbourne's clan once again. Details on the newest family member to face rehab, coming up next.

From alleged crime victim to possible crime suspect, what's next for a University of Wisconsin student police say was not really kidnapped?

Plus, why firefighters are looking to the skies for help in fighting a Colorado wild fire.

(COMMERCIAL BREAK)

WHITFIELD: No word yet on whether authorities in Madison, Wisconsin, will file charges against a college sophomore who faked her kidnapping.

Audrey Seiler was found unhurt Wednesday in a marshy area not far from where she claimed to have been abducted a week ago. Police say the claim is bogus, and they do not believe there ever was a suspect at large.

At a news conference yesterday, the police chief pointed out inconsistencies in the woman's story and said store surveillance tapes showed her buying the very items she alleged her kidnapper used against her.

Police say Seiler confessed, saying she just wanted to be alone.

Bogus stories of abductions aren't as unusual as you may believe. It's a problem that costs law enforcement agencies a lot of money and taxes already strained resources.

Here's Gary Tuchman with a history lesson.

(BEGIN VIDEOTAPE)

GARY TUCHMAN, CNN CORRESPONDENT (voice-over): It was a case that transfixed a nation.

SUSAN SMITH, CONVICTED OF MURDERING HER SON: What are you doing? Shut up and drive and had a gun. He was poking in my side, you know, and told me to drive.

TUCHMAN: Susan and David Smith's two small children had been kidnapped in Union, South Carolina, or so Susan Smith said. The searchers worked around the clock. The mother remained convincing.

SMITH: I can't even describe what I'm going through. I mean, my heart is -- it just aches so bad. I can't sleep. I can't eat. I can't do anything but think about them.

TUCHMAN: But Susan Smith was a liar.

UNIDENTIFIED MALE: Susan Smith has been arrested and will be charged with two counts of murder.

TUCHMAN: Her car was found in the bottom of a lake with her boys still strapped in their seats.

She was found guilty of their murders and is in prison for life. It was an especially horrible hoax, but it was one of many hoaxes police deal with.

Just this week in Texas, a 20-year-old woman was arrested after allegedly faking a kidnapping by locking herself in a trunk.

Earlier this year in Connecticut, a man claimed his wife, a sergeant in the Army Reserve, was killed in Iraq. She was there but is alive and well, and her husband was arrested.

There was also the case of the teenager who pretended she was kidnapped in Oregon.

UNIDENTIFIED FEMALE: I would like to take this time to say how sorry I am.

TUCHMAN: And instead drove with friends to Seattle.

Hoaxes authorities deal with are wide-ranging, and unfortunately, not all that unusual.

Gary Tuchman, CNN, Atlanta.

(END VIDEOTAPE)

WHITFIELD: Other stories making news across America.

In Tyler, Texas, closing arguments going on today in the trial of a woman accused of beating two of her children to death with rocks. A third child was seriously hurt. Deanna Laney says she received a sign from God to kill the children.

MTV star Kelly Osbourne is in rehab to deal with a drug problem. Her parents, Ozzie and Sharon Osbourne, made the announcement during an exclusive appearance on CNN's "LARRY KING LIVE." Sharon Osbourne says her daughter was abusing painkillers.

A homebuilder was critically injured in Broken Arrow, Oklahoma. Explosions sparked by the welding tool led to a huge warehouse spire. Witnesses say even though David Gibson was seriously burned, he was still able to warn co-workers to get away. Smoke from a wild fire could be seen for 20 miles northwest of Miami today. More than 100 firefighters are trying to get the 2,500- acre blaze under control. Residents at a fishing camp on the edge of the Everglades were told to clear out.

In the West, a wild fire in northern Colorado still threatens several dozen homes and could force more people to flee. The 8,000- acre blaze west of Fort Collins has already consumed at least one home.

Firefighters hope a storm will bring some rain and snow. They say the remains -- that remains their best hope for bringing the flames under control.

(WEATHER REPORT)

WHITFIELD: Well, it's not too late to make your April in Paris dreams come true. After the break, tips for travelers on a budget.

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WHITFIELD: April in Paris. Everyone should try it once in their life. Well, why not give it a whirl in 2004?

The city blooms with spring on the Seine, but with a strong euro, your bank account could easily run dry with a visit right now.

Laura Begley is a style director for "Travel and Leisure" magazine. She's just back from Paris and she joins us in our New York bureau with some tips on enjoying the city without going broke.

Is that even possible?

LAURA BEGLEY, "TRAVEL AND LEISURE" MAGAZINE: Well, having just been there a few weeks ago, I can tell you that it is entirely possible. But you've got to be smart.

WHITFIELD: Yes. And that begins with trying to get there, trying to find a good bargain to get to Paris on the cheap.

How do you go about that?

BEGLEY: Well, right now, we're still in sort of the shoulder season. It's a little bit less expensive than, say, traveling in June or July.

But you've really got to be your own travel agent. Scour the web. Call travel agents. Look for last-minute deals. That's the way that you get a good airfare these days.

WHITFIELD: All right. So you saved a buck or two on getting there. Now come the big expenses, like your hotel. How do you go about trying to find -- excuse me -- a bargain hotel in Paris?

BEGLEY: Well, for one thing, a lot of airlines offer great air- hotel packages, but there also are some cheap hotels. Paris, unlike a lot of other big cities, has inexpensive places to stay.

For instance, in the Moret (ph), which is one of my favorite areas of Paris, there's some really great, inexpensive hotels like the Hotel Carund De Marashet (ph), which is just beautiful, sweet and only $150 a night.

WHITFIELD: So maybe you've got to do a little research about Paris and find some neighborhoods, target certain neighborhoods first and then go about trying to find the nearest hotel?

BEGLEY: That's a really good way, but I think that you shouldn't be wedded to one particular neighborhood, because for instance, you might find a great hotel deal in one of the outlying arindisments (ph), and it might be great to stay there instead.

WHITFIELD: All right. With the dollar still being fairly weak, and the euro is still something that Parisians have to get used to there, you know, how do you go about trying to measure what's a good deal and what's not, especially if you've never been there?

BEGLEY: Well, for instance, you want to really be aware and look at the exchange rates before you go. And even while you're there in Paris, check the exchange rates on a daily basis.

Also, be really careful when you're exchanging money. For instance, it's better to go to an ATM than to go to one of the little exchange places on the corner or even in your hotel, because they won't give you as good of a rate. And a lot of times they'll charge surcharges.

WHITFIELD: OK. And sometimes some of us, when we go on vacation, we're led by our stomachs. So you're going to Paris. Certainly, you've got to think about what you're going to eat and how you're going to pay for it. And I understand on your trip, did you spend $22 for a glass of wine?

BEGLEY: I did. You weren't supposed to tell anybody that.

WHITFIELD: Well, I'm wondering if that's indicative of how much it's going to cost you to wine and dine in Paris.

BEGLEY: Well, you know, if you're staying at a luxury hotel or if you're doing the luxury route, sure, you can do that. And actually, I also spent about $30 on a cosmopolitan.

WHITFIELD: What?

BEGLEY: It was one of the most expensive drinks I've ever had. It was a great cosmo, let me tell you.

But you don't have to spend that. You know, there are a lot of little neighborhood restaurants in Paris where you can go and order the house wine and have a carafe of wine, you know, for $7 or $8.

And a lot of restaurants in Paris also offer these great prefixed meals, where they'll include everything on the meal. WHITFIELD: And those are everywhere.

BEGLEY: Those are everywhere. And also, there are lots of little great places around the city where you can go and stop in and get a croc monsieur for $7 or $8 for lunch, or you can stop and get a sandwich.

And even one of the love things to do in Paris, is to get some cheese and wine and bread and go have a little lunch on the Seine.

WHITFIELD: That's nice. And you know what? There's so much to be offered in Paris there, from the eating to the walking around, et cetera, but you've got to shop there, too. And your recommendation is maybe check out some of these flea markets, because they're unlike any other place in the world.

BEGLEY: Well, I am obsessed with the Paris flea markets. Especially Coilene Coeur (ph), which is up in the north of Paris, and it really is just a bargain hunters' delight. You can go and you can really bargain with the Parisians, even in English. And, you can get some great deals.

WHITFIELD: All right. Laura Begley of "Travel and Leisure," thanks very much.

BEGLEY: Thank you.

WHITFIELD: We are all getting our bags packed and heading to old Paris.

Well, targets in Afghanistan now. That story when we take a look at the week in pictures.

This is CNN, the most trusted name in news.

(COMMERCIAL BREAK)

WHITFIELD: This is the weekend some of us dread or even celebrate. It means that we're going to be springing forward for Daylight Saving Time starting early Sunday morning, and that's when 2 a.m. becomes 3 a.m. and we lose an hour of sleep.

But, on the flip side, we gain an hour of daylight in the evening.

A few states don't even participate so those folks are sleeping normally tonight.

Well, if you're worried about losing sleep, our "WEEKEND HOUSE CALL" tackles the problem. Lost sleep is blamed for causing diseases, obesity and car accidents. Dr. Sanjay Gupta shows us what you can do to avoid the problem on "WEEKEND HOUSE CALL," Sunday morning at 8:30 a.m. Eastern.

Well, a busy week in the news as always. And many memorable images that you may have missed. Here's our look at the week in pictures.

(BEGIN VIDEOTAPE)

WHITFIELD (voice-over): U.S. Soldiers on duty in Afghanistan. The troops are patrolling near the Afghan-Pakistan border, hunting al Qaeda and Taliban terrorists.

Also, in Afghanistan, fighting the drugs. Soldiers oversee the destruction of an estimated million dollars of hashish and poppy plants, some of the country's leading cash crops.

Israeli border police gear up for clashes with Palestinian protesters. The conflicts started after 15 ultra-orthodox Jewish settlers moved into a building in a disputed East Jerusalem neighborhood. Police arrested one boy accused of throwing rocks at soldiers.

In Texas, a spectacular fire illuminated the night sky after a furnace exploded at an oil refinery. The fire is blamed for a spike in gasoline prices, since the third largest refinery in the U.S. is out of service.

A major sand storm is making life miserable in Beijing. The blowing sand blanketed northern China, delaying some air flights and impacting all forms of transportation.

Spring gas sprung across the U.S., from the nation's capital, cherry blossoms in full bloom, to bees pollinating flowers in New Mexico.

It's also an early start to wild fire season in the west. Thousands of acres have burned in Colorado and Arizona. Firefighters are dropping water and flame retardant to slow the spread of the blazes.

(END VIDEOTAPE)

WHITFIELD: U.S. soldiers on duty in Afghanistan. They're patrolling near the border hunting al Qaeda and Taliban terrorists.

Still so much more ahead on CNN SATURDAY. In a few moments, "IN THE MONEY"; at 2 Eastern, "CNN LIVE SATURDAY," in depth on the juror problems in the high profile cases.

After that, "NEXT@CNN." Today, the fast growing problem of diseases that have jumped from animals to humans. From bird flu to Mad Cow Disease and what's being done to fight the problems.

But first, Jack Cafferty, and a preview of "IN THE MONEY."

JACK CAFFERTY, "IN THE MONEY" HOST: Thanks. Some of the stories we're covering on "IN THE MONEY" today: slamming Uncle Sam. We'll look at why U.S. influence in the world is down and what can be done to correct it.

And hot picks on Capitol Hill, a new study saying that Senators have outdone the professionals in the stock market. We're going to find out what's up with that.

And no hot dogging. Heinz is trying to keep a low profile these days as the company's heiress makes political headlines.

All that and more right after this quick check of the news headlines.

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