If in fact it turns out that they were scuds (and are not armed with chemicals/biological materials) Saddam is mis-using them as they are not very accurate (at least this was the case in 1991) and their killing radius is relatively small. If he was going to use them without chemicals/biological materials they should not be directed at our forces because of their lack of accuracy and relatively small killing radius. They are really only useful when fired at populated areas, such as cities.
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