This is a partial transcript from "The O'Reilly Factor," July 28, 2004 that has been edited for clarity.

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BILL O'REILLY, HOST: Now General Wesley Clark (search) was supposed to be here. We promoted him all day, but he's not here because he's doing Larry King. That's OK. We don't mind, all right? He wants to do Larry, fine. And we really appreciate the head of the DNC Terry McAuliffe who just ran up here because we had no one. It was just me. So here's McAuliffe. He bails me out. And we appreciate it.


O'REILLY: You are, you are. You're an OK guy.

Now a couple of questions. I think you were very smart. And I don't know if it was you or it was the Kerry people that stopped the Bush bashing. All right, obviously that was a thought out executed plan.


O'REILLY: Why did you do it?

MCAULIFFE: I think everybody knows about George Bush (search). They've been hearing it through the whole primaries. What they want to hear from us, what are you going to do to help health care, create jobs, fix education? They want a positive message. What are you going to do for people at home? And we know that. And that's what they want to hear these four days. John Kerry is going to light them up on Thursday night. John Edwards (search) is going to knock it out of the park tonight. They want a positive vision.

O'REILLY: All right. So you guys talked it over. You said...


O'REILLY: Well, did the Whoopi Goldberg thing put you over the line? Did you say enough's enough with this nonsense?

MCAULIFFE: I didn't like what she said at all. But she's an entertainer. I didn't like what Dick Cheney said on the floor of the Senate either.

O'REILLY: You didn't hear that, though.

MCAULIFFE: It certainly was reported. He admitted it. And the conservatives all said...

O'REILLY: Right.

MCAULIFFE: ...oh, I feel so...


O'REILLY: You couldn't end it then when Whoopi was doing it.

All right, now look, we had Michael Moore on this program last night.


O'REILLY: And he continues, after all the evidence is in, that Bush still lied. On June 17, 2004, you said Bush lied. Now we know Bush didn't lie, that he was given intelligence that was faulty, all right? Shouldn't the Democrats say OK, enough, let's just do policy debates, enough with the lying business?

MCAULIFFE: I don't think I have said lying. I have always said...

O'REILLY: I got it, June 17.

MCAULIFFE: ...that George Bush has continually misled us. He has politicized the intelligence data. He's embellished it. He said they had weapons of mass destruction. Bill, he had everybody in America believing that Iraq was about to launch nuclear weapons against us. It wasn't true.

O'REILLY: All right but look, but we know now that Bill Clinton, who you're very close to...


O'REILLY: ...thought he had weapons of mass destruction. So let's — all I want you guys to do is be fair. That's all I want you to do. Bush didn't lie, OK? The 9/11 Commission says he didn't lie. The Lord Butler investigation in Britain says he didn't lie. The Senate intelligence investigation says he didn't lie. So you can't keep saying he lied. You know what I'm talking about here?

MCAULIFFE: What Terry McAuliffe keeps saying...

O'REILLY: Who's that?

MCAULIFFE: ...is that he...

O'REILLY: Is that you?

MCAULIFFE: Yes, you bet.


MCAULIFFE: What I say and I say it every single day, I'm traveling all over the country, that he politicized, he embellished, he wanted to go to Iraq from day one of his administration.

O'REILLY: All right, that's fine.

MCAULIFFE: He rushed us to war.

O'REILLY: Embellish is fine.

MCAULIFFE: That's what I say.

O'REILLY: All right, but Moore keeps running around and...

MCAULIFFE: Michael Moore is not chairman of the party or anything else. Who cares? He's a producer. Who cares?

O'REILLY: But this is the problem you have in your party. Moore shows up with who? Howard Dean. Howard Dean and Moore, there they are, walking down the street going lie, lie, lie, lie. And independent Americans have had enough of it.

MCAULIFFE: What do you care? John Kerry is running for president. I'm concerned about what John Kerry and John Edwards say. I saw "Fahrenheit 9/11." I thought it was very powerful. I said people ought to see it and make up their own minds.

O'REILLY: It's B.S. Why would you think it was...

MCAULIFFE: Who cares? It's a movie. This is about the president of the United States of America.

O'REILLY: All right.

MCAULIFFE: Who cares?

O'REILLY: I don't care, so...

MCAULIFFE: Moving on, have you seen it?

O'REILLY: I did.

MCAULIFFE: What did you think?

O'REILLY: I thought it was propaganda.

MCAULIFFE: OK, you saw it. You made your decision. OK.

O'REILLY: That's right. But I wouldn't say it was powerful.

MCAULIFFE: I thought it was powerful.

O'REILLY: I would say it's deceitful.

MCAULIFFE: I don't see many movies. I thought it was powerful.

O'REILLY: OK. Well, you and I will go to see "Spider-Man" later and you know...

MCAULIFFE: I saw that. I took my five kids. They loved it.

O'REILLY: All right. The Fox News Channel...


O'REILLY: ...and “The Factor,” are we hostile to the Democrats?

MCAULIFFE: Well, actually Fox lets me come on any time I want. As long as I've been chair, has never had any issues with Fox. I think you're slanted to the right, but so what? Who cares?

O'REILLY: Am I slanted to the right?

MCAULIFFE: I think sometimes you may go unduly over attacking Democrats, but you take your shot at Republicans, too.

O'REILLY: Can you give me an example of attacking...

MCAULIFFE: I have no issues with Fox. Listen, you let me come on any time I want.

O'REILLY: Right.

MCAULIFFE: You let Democrats come on. I have no issues with Fox.

O'REILLY: All right...

MCAULIFFE: Fair and balanced.

O'REILLY: The press runs wild with the Fox News Channel is a right wing Republican shilling, blah, blah, blah. You don't believe that, do you? Do you believe we're shilling for the Republicans?

MCAULIFFE: I think that you, Fox News, takes their talking points right out of the Republican National Committee.

O'REILLY: Do you really?

MCAULIFFE: No question about it.

O'REILLY: Do you think I take my "Talking Points" from the Republican National Committee?

MCAULIFFE: No, I didn't say Bill O'Reilly. You're trying to put Bill O'Reilly with Fox.

O'REILLY: I want to be as humble as possible here. I'm the marquee draw here. And we have some Republican guys. And we have some Democrat guys. But if you're telling me that Shep Smith, who does our hard news hour, takes Republican talking points, I'll tell you you're crazy. He does not.

MCAULIFFE: Listen, I think Fox slants to the right. You and I can debate this. I don't think your viewers could care less. You give me an opportunity to come on your show. That's all I can ask and let me make my case.

O'REILLY: All right, but you're not going to be won't hostile to this network because your opinion is...

MCAULIFFE: Of course not. I'm not hostile to anybody. You're giving me an opportunity to come on your show and talk. I encourage Democrats to go on Fox.

O'REILLY: Do you really?

MCAULIFFE: There are some in my party just forget Fox...


MCAULIFFE: ...but I think it's good.

O'REILLY: You encourage Democrats to come on?

MCAULIFFE: Absolutely.

O'REILLY: All right.

MCAULIFFE: I think it's good...

O'REILLY: Can you deliver for me, Hillary and Bill?

MCAULIFFE: I will be glad to ask the former president and Senator Clinton herself.

O'REILLY: Will you come back and tell me what he said?

MCAULIFFE: Sure I will.

O'REILLY: All right.

MCAULIFFE: Absolutely.

O'REILLY: Now Jesse Jackson just gave a speech about a half an hour ago here. And with all due respect to the reverend, who we're trying to get on the show, he's never been here, he was buried.

MCAULIFFE: I think I could get him on your show.

O'REILLY: I hope so. OK, he was buried. And I want to see him tomorrow, if he can do it, because I want to talk to him — and I don't mean this with any disrespect — but four years ago, he was a power player in the Democratic Party. Now he's not. And you know who the power player is tonight, don't you? Al Sharpton. Why is that? What — how did Sharpton ascend and Jackson descend?

MCAULIFFE: First of all, everybody who ran for president, we have 10 candidates who ran for president. John Kerry obviously won the nomination. All those candidates who ran got different speaking times. And Reverend Sharpton is out there because he ran for president this year. And I think it's great. I was just in the make-up room with Reverend Sharpton. I think it's great.

O'REILLY: No, but he's got a featured primetime slot. And...

MCAULIFFE: He ran for president.

O'REILLY: And Jesse Jackson — is that the reason?



MCAULIFFE: Jesse didn't run for president this year.

O'REILLY: So if Jesse had run, he would be...

MCAULIFFE: Yes, absolutely. You bet.

O'REILLY: All right, because Kucinich ran for president and he didn't make primetime.

MCAULIFFE: He was just on here.

O'REILLY: Yes, but he was right below the radar.

MCAULIFFE: 7:00 to 11:00 is considered primetime.

O'REILLY: OK. But you know what I'm talking about. I know you're not going to admit it. And you probably shouldn't. I wouldn't if I were you, either. I want to be honest. I wouldn't.


O'REILLY: But Sharpton's star has ascended, while Jackson's has descended. And I'm just curious, why did that happen?

MCAULIFFE: Let me tell you, I had Reverend Jackson in my box last night. He is out there fighting for us every day. He's doing voter registration projects.

O'REILLY: All right...

MCAULIFFE: This isn't about...

O'REILLY: ...so you're not going to really answer that question?

MCAULIFFE: At some point, Bill O'Reilly, you'll be on this show with a new chairman of the party and said, you know McAuliffe's descended. There's new people on.

O'REILLY: All right, but you're going to try to get...

MCAULIFFE: Do you know who is hot today? Barack Obama.

O'REILLY: We're trying to get him tomorrow.


O'REILLY: And we're also...

MCAULIFFE: I help you there, too.

O'REILLY: Yes, we'll try to get him tomorrow; if we don't get Jackson, I want to get him soon because I do want to talk to him.

MCAULIFFE: What did you think of Barack Obama?

O'REILLY: I thought he was great.


O'REILLY: Out of the park.

MCAULIFFE: Out of the park.

O'REILLY: I thought he was...

MCAULIFFE: That ball's still over Fenway.

O'REILLY: I thought he was genuine.


O'REILLY: I thought he connected with the audience. And you've got a really good senatorial candidate there. And you'll win that race, too...


O'REILLY: ...because the other guy is going to sex clubs or something.

MCAULIFFE: Right. Yes, what's that all about?

O'REILLY: Don't know.

MCAULIFFE: It was in public — why would you run for the Senate?

O'REILLY: I don't know. You know, in some states that will get you elected.

MCAULIFFE: I grew up in Syracuse, New York. I just don't understand some of this stuff.

O'REILLY: Oh, yes, I know you don't. After eight years with the Clinton administration, you don't understand this stuff?


O'REILLY: Is that what you're telling me here? You're sitting here telling me you don't understand it?

MCAULIFFE: Listen...

O'REILLY: I don't think so.

MCAULIFFE: Let me tell you this. We didn't have sex clubs in Syracuse, New York. I'll tell you that much.

O'REILLY: All right.

MCAULIFFE: You're from New York. You didn't either.

O'REILLY: Poughkeepsie. I'm too old for any of that. We appreciate you coming in...

MCAULIFFE: Thank you, Bill.

O'REILLY: ...and saving us after General Clark bailed out.


O'REILLY: All right?


O'REILLY: Nice to see you.

MCAULIFFE: Bill, great to be with you.

O'REILLY: And thank you for your help.

MCAULIFFE: Fair and balanced.

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