[Weekly Compilation of Presidential Documents Volume 43, Number 38 (Monday, September 24, 2007)]
[Pages 1224-1233]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
The President's News Conference

September 20, 2007

    The President. Good morning. In just 10 days, the State Children's 
Health Insurance Program, known as SCHIP, is set to expire.

[[Page 1225]]

This important program helps children whose families cannot afford 
private health insurance, but do not qualify for Medicaid to get 
coverage they need.
    I have strongly supported SCHIP as a Governor, and I have done so as 
President. My 2008 budget proposed to increase SCHIP funding by $5 
billion over 5 years. It's a 20-percent increase over current levels of 
funding. Unfortunately, instead of working with the administration to 
enact this funding increase for children's health, Democrats in Congress 
have decided to pass a bill they know that will be vetoed. One of their 
leaders has even said such a veto would be, quote, ``a political 
victory.''
    As if this weren't irresponsible enough, Congress is waiting until 
the SCHIP program is just about to expire before getting a final bill 
passed. In other words, Members of Congress are putting health coverage 
for poor children at risk so they can score political points in 
Washington. The legislation would raise taxes on working people and 
would raise spending by between $35 to $50 billion. Their proposal would 
result in taking a program meant to help poor children and turning it 
into one that covers children in households with incomes of up to 
$83,000 a year.
    The proposal would move millions of American children who now have 
private health insurance into Government-run health care. Our goals 
should be for children who have no health insurance to be able to get 
private coverage, not for children who already have private health 
insurance to be able to get Government coverage.
    What I'm describing here is a philosophical divide that exists in 
Washington over the best approach for health care. Democratic leaders in 
Congress want to put more power in the hands of Government by expanding 
Federal health care programs. Their SCHIP plan is an incremental step 
toward the goal of Government-run health care for every American.
    I have a different view. I believe the best approach is to put more 
power in the hands of individuals by empowering people and their doctors 
to make health care decisions that are right for them. Instead of 
expanding SCHIP beyond its original purpose, we should return it to its 
original focus, and that is helping poor children, those who are most in 
need. And instead of encouraging people to drop private coverage in 
favor of Government plans, we should work to make basic private health 
insurance affordable and accessible for all Americans.
    My administration will continue working with Congress to pass a 
responsible SCHIP bill. In the meantime, Congress has an obligation to 
make sure health insurance for poor children does not lapse. If they 
fail to do so, more than a million children could lose health coverage. 
Health coverage for these children should not be held hostage while 
political ads are being made and new polls are being taken. Congress 
must pass a clean, temporary extension of the current SCHIP program that 
I can sign by September the 30th. And that's the date when the program 
expires.
    I've instructed Secretary of Health and Human Services Mike Leavitt, 
who has joined us today, to work with States on ways to mitigate the 
damage that would result if Congress allows this program to lapse. Our 
goal in passing legislation should be getting something done for those 
in need, not getting nothing done so politicians in Washington can claim 
a political victory.
    Mike Leavitt is going to answer questions, if you have any, after my 
press conference. You looked a little concerned as to whether or not I'd 
answer any questions. And now I'm happy to take any questions you have, 
starting with Terry [Terence Hunt, Associated Press].

National Economy/Federal Budget

    Q. Mr. President, economists say that the Nation is at increasing 
risk of recession. What do you say?
    The President. I say that the fundamentals of our Nation's economy 
are strong. Inflation is down. Job markets are steady and strong. After 
all, the national unemployment rate is 4.6 percent. Corporate profits 
appear to be strong. Exports are up. There is no question that there is 
some unsettling times in the housing market and credits associated with 
the housing market. And that's why I look forward to working with 
Congress to modernize the FHA loans so that people can refinance their 
homes and to change the Tax

[[Page 1226]]

Code so that if somebody renegotiates a loan, they don't have to pay a 
penalty, a tax penalty, in so doing.
    I'm optimistic about our economy. I would be pessimistic, however, 
if the Congress has its way and raises taxes. I believe the worst thing 
that can happen now is to allow the Congress to do that which they have 
said they want to do, which is to raise the taxes on people, and--
because I think taking money out of the hands of investors and consumers 
and small-business owners would weaken the economy.
    And so, as I say, I'm optimistic. But I would be pessimistic if I 
thought Congress was going to get their way. And they're not; they're 
not going to raise taxes.
    Q. Do you think there's a risk of a recession? How do you rate that?
    The President. You know, you need to talk to economists. I think I 
got a B in Econ 101. I got an A, however, in keeping taxes low--
[laughter]--and being fiscally responsible with the people's money. 
We've submitted a plan that will enable this budget to become balanced 
by 2012 so long as Congress learns to set priorities. And we can balance 
the budget without raising taxes.
    Caren [Caren Bohan, Reuters].

Iran

    Q. Thank you. The French Foreign Minister has raised the possibility 
of war with Iran. Is there a risk that the escalating rhetoric over Iran 
could increase the chances of war, and what would be your message to the 
U.N. next week regarding Iran?
    The President. I have consistently stated that I'm hopeful that we 
can convince the Iranian regime to give up any ambitions it has in 
developing a weapons program, and do so peacefully. And that ought to be 
the objective of any diplomacy. And to this end, we are working with 
allies and friends to send a consistent message to the Iranians that 
there is a better way forward for them than isolation--financial 
isolation and/or economic sanctions.
    I believe it's imperative that we continue to work in a multilateral 
fashion to send that message. And one place to do so is at the United 
Nations. We're also talking to different finance ministers about how we 
can send a message to the Iranian Government that the free world is just 
not going to tolerate the development of know-how in how to build a 
weapon or at least gain the ability to make a weapon.
    And the reason why is, is because it's very important for us to take 
the threats coming out of the mouth of the President of Iran very 
seriously. He's a person that is, you know--constantly talks about the 
use of force to--on Israel, for example, and Israel is our very firm and 
strong ally.
    I also--it's very important for the Iranian people to know that 
our--the United States recognizes the grand tradition and history of 
Iran and that we respect the people of Iran. We just believe that their 
Government has made choices that make it difficult for them to realize 
their dreams, to realize their full potential. The Iranian economy is 
suffering--some of it through mismanagement, some of it as a result of 
international pressures. And the people of Iran have got to know that 
some of the suffering that they're having inside their country is caused 
by their Government, its inability to work with the world in a 
responsible way regarding their desire to enrich uranium. So we'll keep 
the pressure on them, and again, the objective, of course, is to solve 
this peacefully.
    David [David Gregory, NBC News]. Welcome back.

Israel and Syria

    Q. Thank you, Mr. President.
    The President. Where have you been?
    Q. I've been around.
    The President. You've been doing those shows. [Laughter]
    Q. Sir, Israeli opposition leader Netanyahu has now spoken openly 
about Israel's bombing raid on a target in Syria earlier in the month. I 
wonder if you could tell us what the target was, whether you supported 
this bombing raid, and what do you think it does to change the dynamic 
in an already hot region in terms of Syria and Iran and the dispute with 
Israel and whether the U.S. could be drawn into any of this?
    The President. I'm not going to comment on the matter. Would you 
like another question?
    Q. Did you support it?

[[Page 1227]]

    The President. I'm not going to comment on the matter.
    Q. Can you comment about your concerns that come out of it at all, 
about for the region?
    The President. No. Saying I'm not going to comment on the matter 
means I'm not going to comment on the matter. You're welcome to ask 
another question, if you'd like to, on a different subject.

Iraq

    Q. I'll ask you about Iraq. Efforts to curtail the deployment of 
troops is an ongoing debate right now. One of the things you spoke about 
in your address last week had to do with impatience with the Iraqi 
Government. And you spoke about that, but not in much detail. How is 
that dynamic changing, your level of frustration with the lack of 
political progress? And how long can Americans reasonably expect you to 
wait before you take some kind of action that really forces the Iraqi 
Government's hand to reach the goals of reconciliation that you set for 
them?
    The President. In my speech, I made it clear that there has to be a 
change in security for there to be reconciliation. And I also said that 
progress will yield fewer troops. In other words--return on success is 
what I said.
    There are two types of reconciliation, David. One is that 
reconciliation, that very visible reconciliation that happens through 
the passage of law. In other words, it's reconciliation that shows the 
Iraqi people that people from different backgrounds can get along and, 
at the same time, that Government can function. Clearly there needs to 
be work there. In other words, there needs to be the passage of law. For 
example, we strongly believe that an oil revenue sharing law will send a 
message to Sunni, Shi'a, and Kurd alike that there is an effort at the 
national level to achieve reconciliation.
    Having said that, however, there is a functioning government. And 
the reason I bring--I guess my point is this, that in spite of the fact 
they haven't passed a law, there is the sharing of oil revenues on a 
relatively equitable basis. The other--and so we'll continue to work 
with the Government to insist and impress upon them the need for there 
to be the passage of law, whether it be Provincial election laws or de-
Ba'athification law or the oil law.
    There is local reconciliation taking place. I had a fascinating 
conversation in the Roosevelt Room earlier this week with members of 
Provincial Reconstruction Teams from around Iraq, who talked about how 
people are sick and tired of murder and violence and that they expect 
their local governments and their central Government to be more 
responsive to their needs. And local governments are beginning to 
respond.
    Part of the reason why there is not this kind of instant democracy 
in Iraq is because people are still recovering from Saddam Hussein's 
brutal rule. I thought an interesting comment was made when somebody 
said to me--I heard somebody say, where's Mandela? Well, Mandela is dead 
because Saddam Hussein killed all the Mandelas. He was a brutal tyrant 
that divided people up and split families, and people are recovering 
from this. So there's a psychological recovery that is taking place. And 
it's hard work for them. And I understand it's hard work for them. 
Having said that, I'm not going to give them a pass when it comes to the 
central Government's reconciliation efforts.
    I also said in my speech, local politics will drive national 
politics. And I believe that. I believe that as more reconciliation 
takes place at the local level, you'll see a more responsive central 
Government.
    Yes. Axelrod [Jim Axelrod, CBS News].

Secretary of Defense Robert M. Gates/Iraq

    Q. Thank you, Mr. President. Your Defense Secretary, Robert Gates, 
was recently asked by New York Times columnist David Brooks if knowing 
what he knows now, invading Iraq was a good idea. And I believe your 
Defense Secretary answered, ``I don't know.'' Does that represent 
daylight with you? Is that second-guessing? Have you spoken to the 
Defense Secretary? And does that change your mind at all?
    The President. I think he made it pretty clear the removal of 
Saddam--I don't know about this column, but I know his previous 
statements, he said, getting rid of Saddam Hussein was the right 
decision. But I haven't talked to him about the column. If I had to

[[Page 1228]]

ask everybody in my Government to respond to columns and news stories, 
that's all I'd be doing, is talking to people in my Government.
    I am absolutely convinced Secretary Gates knows that removing Saddam 
was the right thing, and I'm absolutely convinced he believes we will 
succeed in Iraq. And so I've got a lot of trust in the man. He's doing a 
fine job as the Secretary.
    Martha [Martha Raddatz, ABC News].

Israel and Syria

    Q. You won't comment on what the Israelis may or may not have done--
--
    The President. That's an accurate statement. I hope you got that 
from my answer. Now you're afraid--yes, of course, now Gregory is 
worried I'm actually going to comment, see.
    Q. That's what I'm hoping.
    The President. Well, I'm not going to, so you might want to go to 
another subject.

North Korea

    Q. I know you won't comment on that. But let's talk about whether or 
not you believe that North Korea is aiding Syria with a nuclear program.
    The President. We have made it clear and will continue to make it 
clear to the North Koreans through the six-party talks that we expect 
them to honor their commitment to give up weapons and weapons programs. 
And to the extent that they are proliferating, we expect them to stop 
that proliferation, if they want the six-party talks to be successful.
    In other words, whether it be the exportation of information and/or 
materials is an important part--it doesn't matter to us whether they 
do--in terms of the six-party talks, because they're both equally 
important, I guess is the best way to say it. In other words, we want--
it does matter whether--let me rephrase that--it matters whether they 
are, but the concept of proliferation is equally important as getting 
rid of programs and weapons.
    Q. So you believe they are aiding Syria?
    The President. It's a general statement that we expect them not to 
be proliferating.

Race Relations/Situation in Jena, Louisiana

    Q. Mr. President, thousands of people are marching today in Jena, 
Louisiana, in a racially charged case involving six black students for 
beating a white student. Also, not far from the White House recently, 
there was a noose that was found hanging from a tree at a college 
campus. You have worked very hard to bring blacks and Hispanics into 
your party, but the fallout from the immigration debate and even some 
Republican Presidential candidates' refusal to go to debates at 
Univision as well as Morgan State calls into question whether or not the 
state of race relations is deteriorating in this country and 
specifically in your party. Your thoughts?
    The President. My advice to whoever will be our nominee is to reach 
out to the African American community as well as other communities, 
because I believe that we've got a very strong record when it comes to 
empowerment, when it comes to education or homeownership or small-
business formation.
    The events in Louisiana are--have saddened me. I understand the 
emotions. The Justice Department and the FBI are monitoring the 
situation down there, and all of us in America want there to be fairness 
when it comes to justice. We've got a good record to run on, and my 
advice to our candidate would be to run on it.
    Q. Do you think this is a defining moment in race relations?

President Ahmadi-nejad of Iran's Upcoming Visit to New York City

    Q. Mr. President, Iran's President, Ahmadi-nejad, says he wants to 
go to Ground Zero and place a wreath there. There is some objection to 
that in New York. What are your thoughts?
    The President. My thoughts are that the local police will make the 
proper decision and that if they decide for him not to go--like it looks 
like they have--I can understand why they would not want somebody who is 
running a country who is a state sponsor of terror down there at the 
site.
    Roger [Roger Runningen, Bloomberg News].

[[Page 1229]]

National Economy/Federal Budget

    Q. Mr. President, back to the economy for a moment. The Fed took its 
half-point rate cut the other day. Do you think that was enough to stave 
off recession? And if not, are there other steps you're prepared to do 
financially?
    The President. Roger, I do not comment on the decisions made by the 
Fed. I will comment on Ben Bernanke; I think he's doing a fine job. The 
White House and the Congress are responsible for fiscal policy. The 
worst decision the Congress could make would be to raise taxes during 
this period. We don't need to raise taxes in order to fund budget 
priorities. We have submitted a budget that shows we can get to balance 
by 2012 without raising taxes, and its one of the reasons I feel so 
strongly about--that's why I'm not going to let the taxes be raised.
    Fletch [Michael Fletcher, Washington Post].

Situation in Jena, Louisiana

    Q. What do you say to those who criticize you for not speaking out 
on the situation in Louisiana, particularly given your passionate 
remarks after Hurricane Katrina about race? People say you've fallen 
silent on this.
    The President. As you know, this is an ongoing trial; there's 
litigation taking place. I feel strongly that there ought to be fair 
justice. And I just spoke out on it.

National Economy/Social Security Reform

    Q. Mr. President, former Secretary of Defense Rumsfeld recently was 
asked if he missed you. He said, no. [Laughter]
    The President. Wait a minute. I miss him.
    Q. Alan Greenspan has come out with a book, a recent book, 
criticizing you for being fiscally irresponsible. And they're not the 
first former Government officials to come out and be critical of you. 
And I'm wondering two things. First, do you feel betrayed by some of 
these people who have served you and then have come out and criticized 
you? And then, more particularly, can you respond to Greenspan's 
criticism?
    The President. My feelings are not hurt. You might have been a 
little selective in quoting Donald Rumsfeld, which I know you didn't 
mean to be, you know. I respect Secretary Rumsfeld; I believe he did a 
fine job. And I respect Alan Greenspan. I respectfully disagree with 
Alan Greenspan when it comes to saying that this administration didn't 
handle the fiscal issues we faced in good fashion. As a matter of fact, 
we did.
    The deficit, as a percent of GDP, is low. It's lower than the 30-
year average. We have submitted a plan to balance the budget. We dealt 
with a recession, a terrorist attack, and corporate scandals. And we did 
it by cutting taxes. The tax cuts worked. The economy recovered. People 
are working. Interest rates are low.
    I'm a supply-sider. I believe supply-side economics, when properly 
instituted, enables us to achieve certain objectives. One, there's 
people finding work, and there's hope in the economy. Two, that supply-
side economics yields additional tax revenues. And if we're smart about 
how we manage the fiscal budget, it leads to balance, and that's what we 
have done. We are fighting a war at the same time that we're headed 
toward balance. In other words, we're making sure our troops get the 
money they need and veterans get the benefits they need.
    The former Chairman Greenspan and I spent a lot of time talking 
about the unfunded liabilities inherent in Social Security and Medicare. 
And he's concerned about those unfunded liabilities, as am I. And that's 
why I went in front of the Congress, in more than one occasion, talking 
about how to reform Social Security so that young people who are working 
aren't paying payroll taxes into a system that's going broke.
    I'm not going to give up on entitlement reform, but it can require 
part--members of both parties to recognize we have a problem that ought 
to be solved now. It's time to--I thought it was time to come together a 
couple of years ago, and that wasn't the political will in Congress. And 
I'm not so sure we're going to find it now, but I'm going to keep trying 
because, like the Chairman, I understand that the biggest issue we've 
got with the deficit are those deficits inherent in these entitlement 
programs.
    John [John McKinnon, Wall Street Journal].

[[Page 1230]]

Government of Dubai and NASDAQ Stock Market/Trade/U.S. Foreign Policy

    Q. Mr. President, there's a deal taking shape this morning where the 
Government of Dubai would buy a share of--a stake in the NASDAQ stock 
market. And there is some concern being expressed on Capitol Hill about 
this. It's another deal involving, you know, people overseas that we 
might not trust. What's your reaction to it? And also, what's your level 
of concern about protectionism in general?
    The President. My reaction is, is that we have a reform process in 
place that will be able to deal with this issue. In other words, we're 
going to take a good look at it as to whether or not it has any national 
security implications involved in the transaction. And I'm comfortable 
that the process will go forward.
    John, I'm also--I am concerned about protectionism. I'm concerned 
about it because if the United States loses its confidence when it comes 
to trading, it will make it less likely our economy would grow. And I 
just told you, one of the underpinnings of our support is the fact that 
exports--for economic vitality is the fact that exports are up, and 
workers benefit when we're selling products overseas. And I believe 
these free trade agreements will be an interesting test of 
protectionism, whether protectionism is real.
    We've got four trade agreements that we've negotiated that we want 
to get passed, and there's going to be some crucial votes coming up here 
pretty soon in the Congress. And we'll work hard to get all four trade 
agreements through. And if they don't get through, it is a sign that the 
protectionists are beginning to be on the ascendancy here in Washington, 
DC, and that would be a mistake. And for people who are deeply concerned 
about poverty around the world like I am, the best way to help lift 
people out of poverty is through free trade agreements. And that's why 
we're dedicated to the Doha round that Secretary Schwab is so actively 
engaged in--not Secretary Schwab, trade negotiator Schwab. And we're 
committed to reach an accord with these nations so that--because trade 
helps poor people realize a better life. And it's a proven fact.
    I'm also worried about isolationism. Isolationism tends to run hand 
in hand with protectionism. You'll find isolationists are those who say 
it's not our business what happens overseas; it doesn't matter if 
there's a free society in the heart of the Middle East, as far as our 
long-term security and peace. I just strongly reject that. I think it 
does matter a lot that the United States is working with other nations 
to promote liberty and freedom because I believe liberty is a change 
agent. Liberty can help hostile parts of the world become peaceful parts 
of the world.
    You know, our strategy in dealing with these extremists who still 
want to attack us is on the one hand, chase them and find them and bring 
them to justice, and on the other hand, help change the conditions that 
caused 19 kids to get on airplanes and come and kill nearly 3,000 
citizens on our soil. The best way to do that is to be active with 
foreign policy. It's not to lose faith in values, but to actively 
promote universal values. And isolationists would say, it's not worth 
it, doesn't matter to the United States of America. Well, I think it 
does matter, and I think it matters a lot.
    Herman [Ken Herman, Cox News], have you got a question?

2008 Presidential Elections

    Q. Yes, sir, thank you.
    The President. You're welcome.
    Q. Mr. President, for Republicans seeking election next year are you 
an asset or a liability?
    The President. Strong asset. [Laughter] Ann [Ann Compton, ABC News].
    Q. Can I follow?
    The President. No. [Laughter] I knew I made a mistake calling on you 
in the first place. [Laughter]
    Q. He's known you a long time.
    The President. Yes, he has.
    Q. And you got an MBA?
    The President. The problem is, I called him, and I've known him for 
a long time.
    Q. You knew what you were getting into. [Laughter]
    The President. Yes. Look, candidates who go out and say that the 
United States is vulnerable to attack and we're going to make

[[Page 1231]]

sure our professionals have the tools necessary to protect us are going 
to do well. Candidates who go out and say that helping these Iraqis 
realize the benefits of democracy are going to do well. Candidates who 
go out and say that it's very important for the United States to have 
clear principles when it comes to foreign policy, they'll do well. 
Candidates who say, we're not going to raise your taxes will do well.
    Ann.

Taxes/SCHIP Legislation

    Q. Quick follow, if I may, Mr. President? [Laughter]
    The President. No, you may not. [Laughter]
    Q. Mr. President, back to your grade point average on holding the 
line on taxes----
    The President. Whew, I thought you were going to talk about the 
actual grade point average. [Laughter] I remind people that, like when 
I'm with Condi, I say, she's the Ph.D., and I'm the C student. And just 
look at who's the President and who's the adviser. But go ahead. 
[Laughter]
    Q. If there is a tax increase on cigarettes to fund the SCHIP 
program, is that a tax increase you oppose?
    The President. It does. We don't need to raise taxes. What I want is 
the Congress to be focused on making sure poor children get the health 
insurance they were promised. Instead, Congress has made a decision to 
expand the eligibility up to $80,000. That's not the intent of the 
program. The program was, find poor children and help them with health 
insurance. Their vision is, expand the eligibility so that people making 
up to 80 will be eligible for this program. I believe this is a step 
toward federalization of health care. I know that their proposal is 
beyond the scope of the program, and that's why I'm going to veto the 
bill.
    Let's see, Mark [Mark Smith, Associated Press Radio].

Iraq/War on Terror

    Q. Mr. President, in January, when you announced your troop surge, 
you said that its goal was to get all 18 Iraqi Provinces, the security 
for those Provinces into Iraqi hands by November of this year. The 
Pentagon is now telling Congress that's not going to happen until July 
at the earliest. Have the goalposts shifted once more?
    The President. No, the goals are the same; achieving those goals 
have been slower than we thought. And the question is, one, whether or 
not it's worth it to try to achieve the goals. I believe it's worth it 
for the security of the country. And the reason why I believe it's for 
the security of the country is that if we were to leave before the job 
was done, extremist groups like Al Qaida would be able to gain safe 
haven. That's what they've said they want. They believe we won't have 
the will to hang in there and help this Iraqi Government succeed. And 
they want us out.
    And so the goals of helping Iraqis provide their own security remain 
the same, and the goals are important toward achieving our objective, 
and our objective is important for the security of the country. I also 
believe that a democracy in the heart of the Middle East will be a major 
blow to extremists or radicals wherever they live in the Middle East. 
And just yesterday, we saw an attack on an anti-Syrian/pro-Lebanese 
democracy advocate. Now, I don't know who did that, but I do know it is 
typical of this war we're fighting in, when extremists kill innocent 
people in order to undermine democracies.
    One of the things I feel passionately about is for the United States 
to recognize what a Middle East would be like if terrorists and 
extremists were--would have safe haven and were emboldened by a U.S. 
defeat. And that's why I'm--one, I believe we can succeed, and two, I 
know we got to succeed--and therefore, have listened carefully to our 
commanders and our diplomats as to whether or not they think we can 
succeed, and if so, what do they need to do it. And that's what I talked 
to the country about.
    And so, Mark, yes, the goals are the same. And have we achieved them 
as fast? No, we haven't. But however, having not achieved them doesn't 
mean we ought to quit. It means we ought to work hard to achieve the 
goals, because the end result is the same, whether the goal is done in 
November or in July, and that is a country that can govern itself, 
sustain itself, and defend itself and is an ally against these 
extremists and radicals;

[[Page 1232]]

a country which will deny safe haven to the folks who have sworn 
allegiance to the crowd that attacked us on September the 11th.
    A couple of more, and then I'm going to let Leavitt come up here.

Blackwater USA Incident in Iraq

    Q. A followup, sir?
    The President. Yes, please.
    Q. Thank you. You said earlier that people in Iraq are sick and 
tired of the violence. To what extent has the recent Blackwater incident 
frayed your relations with Prime Minister Maliki and his Government? And 
why are outfits like Blackwater above the law in Iraq?
    The President. First of all, I have yet to speak to the Prime 
Minister about this subject. I'll see him in New York next week at the 
U.N.; I'm confident he'll bring it up. I also appreciate the fact that 
he's willing to work with the U.S. Government to set up a commission to 
find out what actually happened. The folks like Blackwater who provide 
security for the State Department are under rules of engagement. In 
other words, they have certain rules. And this commission will determine 
whether or not they violated those rules. And I'm looking forward to 
finding out what the results are.
    Q. Any regrets about that incident and the fact that there were----
    The President. Well, let's find out what the facts are first. 
Obviously, to the extent that innocent life was lost, you know, I'm 
saddened. Our objective is to protect innocent life. And we've got a lot 
of brave souls in the theater working hard to protect innocent life. And 
evidently, some innocent lives were lost. My thoughts and prayers go out 
to the families. I want to find out the facts about exactly what took 
place there in the theater, and that's exactly what we're about to find 
out.
    A couple of more here. Wolffe [Richard Wolffe, Newsweek].

Oil Revenue Sharing in Iraq

    Q. Thank you, sir.
    The President. You looked asleep back there; that's why I was 
calling on you.
    Q. You recently spoke just earlier about the importance of oil 
revenue sharing in Iraq. Recently, a company called Hunt Oil, run by one 
of your long-time supporters, Ray Hunt, signed a deal with a Kurdish 
regional government to drill for oil up there. That deal has come under 
intense criticism from the national Government in Baghdad. They say it 
undermines the discussions about oil legislation. What's your opinion of 
that kind of deal and how it impacts this long-stalled legislation?
    The President. Our Embassy also expressed concern about it. I knew 
nothing about the deal. I need to know exactly how it happened. To the 
extent that it does undermine the ability for the Government to come up 
with an oil revenue sharing plan that unifies the country--obviously if 
it undermines it, I'm concerned.
    Yes.

General David H. Petraeus

    Q. Mr. President, thank you.
    The President. Big Stretch [Richard Keil, Bloomberg News], he's 
back.
    Q. What is your reaction to the MoveOn.org ad that mocked General 
Petraeus as General ``Betray Us'' and said that he cooked the books on 
Iraq? And secondly, would you like to see Democrats, including 
Presidential candidates, repudiate that ad?
    The President. I thought the ad was disgusting, and I felt like the 
ad was an attack not only on General Petraeus but on the U.S. military. 
And I was disappointed that not more leaders in the Democrat Party spoke 
out strongly against that kind of ad. And that leads me to come to this 
conclusion: That most Democrats are afraid of irritating a left-wing 
group like MoveOn.org--or more afraid of irritating them than they are 
of irritating the United States military. That was a sorry deal. And 
it's one thing to attack me; it's another thing to attack somebody like 
General Petraeus.
    All right. Leavitt is going to answer some questions if you have any 
for him. Make sure they're--tone them down a little bit; this is his 
first time in here. Martha, you and Gregory be polite on him. Thank you 
for your time.
    Michael.

[[Page 1233]]

Note: The President's news conference began at 10:46 a.m. in the James 
S. Brady Press Briefing Room at the White House. In his remarks, he 
referred to President Mahmud Ahmadi-nejad of Iran; former President 
Nelson Mandela of South Africa; former Chairman of the Federal Reserve 
Alan Greenspan; Parliament Member Antoine Ghanem of Lebanon, who was 
assassinated in Lebanon on September 19; Prime Minister Nuri al-Maliki 
of Iraq; and Gen. David H. Petraeus, USA, commanding general, Multi-
National Force--Iraq. A reporter referred to Minister of Foreign and 
European Affairs Bernard Kouchner of France.