Transcript for Cafferty & Wolf

This report includes graphic content. Viewer discretion is advised. CNN

Israel is deeply sorry.

[on screen] Miri Eisen (ME), Israeli Government Spokeswoman

We're deeply saddened by these images, by this attack, by this result

Israel does not target civilians and there is no question that there will be, in Israel,

a full and open investigation on how this happened. [pictures of destroyed buildings]

Hezbollah has been firing rockets, not only from the town of Canaa right next to that building

but from all of that surrounding area for the last 2-1/2 weeks.

[anchor from offscreen] But some are saying that's not so, though, and what proof

[ME continues] on both the Hariah and PuraSwarne

[anchor offscreen]do you have that that is the case? Because other observers have suggested that that isn't the case

[ME] Israel has already sent out many pictures around the world of Hezbollah firing the Katyusha rockets from within these

civilizations, these different population centers and we have done so again today. We have footage which we will be putting out,

of these Katyusha rockets There has never been a question about--

[anchor from offscreen] Are you suggesting these--these--rockets--

[ME]--that Hezbollah is hiding behind the civilians--

[anchor]--are you suggesting that these rockets were fired from this 4-story building housing these women and children?

[ME] As I said before, Israel deeply, deeply--is sorrowful--is saddened by what happened

--this is definitely a mistake--

[anchor, offscreen] Why was this building targeted?

[ME] --we did not target this building.

[anchor] You did not target it? Even thought you had guidance yourselves--

[ME]The building was not--

[anchor] --this was nor targeted?

[ME] The building itself was not targeted, as I said.The building itself was next to the rocket launcher shots--the rocket launcher sites

--and we are targeting all of those rocket launcher sites. This was a mistake.

Israel deeply regrets this and we will have a full investigation.

--as I said we are greatly saddened by the death of civilians, [emergency personnel moving bodies]

while Hezbollah is firing into our civilian population and targeting Israelis all over northern Israel.

But what impact are you having? [body being carried out on a stretcher]

There is no evidence that you are having any impact on Hezbollah in any way.

They keep firing their weaponry which is nowhere of the same caliber as that of the Israeli army. How do you explain that?

All of these women and children, all these civilians killed, and yet very little impact, it seems, on Hezbollah at all!

[ME] War is a terrible thing, Rosemary, and it's a great tragedy that's happening right now. [searching for bodies]

There is a terrorist organization which has hidden itself inside the civlians all over Southern Lebanon and in Beirut.

They hold tens of thousands of rockets that they're firing daily on Israelis, they have already fired thousands of rockets into Israel

When I look at the pictures at Cana, as you do, it is a terrible tragedy and, as I said, we deeply, deeply are sorrowful over this

and this was a mistake. But that doesn't mean that Israel won't continue to pursue Hezbollah whereever they are in

Lebanon as they continue to fire their terrorist rockets at Israel all of the time [anchor] But they're crude rockets, aren't they?

And after all, their impact has been minimal compared to the impact of Israeli strikes on Lebanon. Explain something to us--

why would you not try to be shooting these missiles--these Katyusha missiles or rockets, we should say, --

they're not missiles at all-- why would Israel not be trying to shoot them out of the sky? They have the capability to do that.

No, Rosemary, these are Katyusha rockets which are a kind of rocket which they fire a barrel a dozen--and the fact that there haven't

been casualties in Israel shouldn't necessarily be held against us. Israelis--a million and a half--are sitting inside bomb shelters

and have been doing so for the last 2-1/2 weeks--and all of the Israelis who have been killed have been those who have come

out for air from the bomb shelters.The rockets themselves are standard rockets. These are rockets that are made in Iran

in Syria, supplied to Hezbollah. The fact that they are supplied--they continue to be supplied there--

is part of this entire terrorist organization denying Israel's right to exist.

Trying to hold all of northern Israel hostage to their demands.

Two-and-one-half weeks ago, they crossed an internationally recognized border

in an unprovoked attack, they kidnapped two Israeli servicemen and they opened fire all over Northern Israel

I'm not saying that we can, in any way, justify the attack today, but we will continue to defend the state of Israel