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Biden to Lead Gun Control Review; NRA Promises "Meaningful Contribution"; Gun Control Talk Surge in Sales; Benghazi Report Finds Systemic Failures; Obama is TIME's "Person of the Year"; Instagram Backtracks Policy Changes

Aired December 19, 2012 - 09:00   ET

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

CAROL COSTELLO, CNN ANCHOR: Happening now in the NEWSROOM, systemic failures in Benghazi. An independent review releases a report on just what happened that night in Libya and how it could have been prevented.

Blizzard warning from Denver to Detroit a week before Christmas. The storms bringing an unwelcome present to Americans traveling home for the holidays. Fifty-mile-per-hour winds, a foot of snow. We're tracking the latest forecast.

Plus this.

(BEGIN VIDEO CLIP)

RUDY ORLANDO, GUN CUSTOMER: But with all this -- all the new, you know, talk of new legislation going on to assault rifles, I really -- you know, I definitely want to get a few more before, you know, something may happen.

(END VIDEO CLIP)

COSTELLO: Gun sales spike as gun control simmers. Talk of new policy sends many Americans on a shopping spree.

"Family Guy" is back and we'll show you part of the episode that was canceled out of respect for the people of Newtown, Connecticut.

Newsroom starts now.

And good morning. Thank you so much for joining us. I'm Carol Costello.

First up, President Obama and the first step toward new gun control laws. As you might remember, he promised those changes on Sunday at a heart wrenching vigil for the school shooting victims in Connecticut.

This morning Mr. Obama will announce that Vice President Joe Biden will lead the effort to form new policies and rein in gun violence.

This morning's briefing comes as Newtown prepares to bury several students and a beloved teacher. Vicki Soto used her body to shield students from the gunman. And the National Rifle Association finally breaks its silence. The NRA promising to take part in a gun control debate. It has scheduled a Friday announcement. We'll have more on that in just a minute. But first let's head to the White House and CNN's Dan Lothian.

So, Dan, do we expect the president to offer any specifics on policy change today?

DAN LOTHIAN, CNN WHITE HOUSE CORRESPONDENT: We don't. I mean, White House aides say that this will be a chance for the president to talk more about the process of setting up this effort which, as you pointed out, will be led by Vice President Biden.

I'm hearing also, as part of that effort, will involve Homeland Security, the Education Department, Health and Human Services, and also the Justice Department will be looking at ways that they can come up with policies to address this issue of gun violence.

So, again, this is the president reacting to some pressure as to what he would do. You know, right after this violent event took place, the president came out and said that he would take action. That his administration in the coming weeks and months would be looking at ways to prevent something like this from happening again.

So this is the first visible action that this administration has taken to -- is taking, rather, to meet that demand.

COSTELLO: All right. The president will speak, we expect, in just about 2 1/2 hours. When the president speaks, of course, CNN will take it live.

Thank you, Dan.

The National Rifle Association is vowing to take part in the national dialogue on gun control, and says it's heartbroken and shocked by the massacre. And it's worth noting the gun rights group seems to be embracing a softer tone in assigning blame for the gunman's killing spree.

(BEGIN VIDEO CLIP)

CAM EDWARDS, NRA RADIO HOST: I don't think the issue is an issue. I don't think the issue is parenting or Hollywood or guns or rap music or young man. It is the foundational stuff. Whether it's a lack of love, a lack of empathy for others, a -- apathy.

(END VIDEO CLIP)

COSTELLO: That from the NRA's Web site. In its first statement since the killings the NRA has this to say. Quote, "Out of respect for the families and as a matter of common decency we have given time for mourning, prayer and a full investigation of the facts before commenting. The NRA is prepared to offer meaningful contributions to help make sure this never happens again," end quote.

CNN's George Howell is following the politics and power of the NRA. David Mattingly shows us how talk of gun control is triggering a spike in gun sales.

But, George, let's begin with you and the NRA. So what does it mean by meaningful contributions?

GEORGE HOWELL, CNN CORRESPONDENT: Carol, fair to say, it's an open- ended statement. And since that statement -- since the shooting, the NRA has been silent. We know their Facebook page, they took that down briefly. Their Twitter account also went cold. But now both are back up touting this big announcement Friday.

What that big announcement will be we have yet to see. But again, we know their Web site is also up and running. And you played just a moment ago a bit of this -- this program called "Cam & Company." That's a Web cast that appears on the Web site.

Let's listen to just a little bit more of that to get reaction to what happened in Newtown.

(BEGIN VIDEO CLIP)

GINNY SIMONE, NRA REPORTER: What do we see coming right out of this tragedy right away? Is you've got Mayor Bloomberg, you've got Senator Chuck Schumer and Senator Dianne Feinstein insisting that we need tougher gun laws. And you look at Connecticut, and they are number five when it comes to the strictest gun laws in the country.

(END VIDEO CLIP)

HOWELL: So, Carol, this is a big, strong lobbying group. We're talking about a group that has more than four million members nationwide. They run conventions and other gun-related activities. And they have a great deal of political power. Just this year the NRA spent some $17 million in federal political races. Again, this year alone, they contributed also more than $700,000 to individual candidates.

Carol, most of those candidates is Republicans. And that's just part of it. This is one of the biggest lobbying groups in the U.S. They had their hands in some 60 measures this year alone.

And, Carol, when you compare this group to, you know, the other advocacy groups, the Brady Campaign for Gun -- to Stop Gun Violence, when you compare those two groups, the NRA outspends that group some 66 times more than the Brady Campaign. And they spent more than 4,143 times more money on contributions. So this is a big, strong, powerful group.

Carol, when they talk about meaningful contributions, what does that mean? You know, this is a group -- if they were to support a ban on assault rifles, that would be a huge blow to gun makers.

COSTELLO: I can't see that happening.

HOWELL: So, you know, what does it mean, a meaningful contribution? We have yet to see.

COSTELLO: Yes. We have yet to see. Friday is the big day when the NRA will maybe spell out what those meaningful contributions are.

HOWELL: Yes.

COSTELLO: George Howell, thank you very much.

COSTELLO: With polls showing -- with polls showing that more Americans now support stricter gun laws, the question of gun control may not be if, but when despite the NRA. That's prompting many Americans to go gun shopping right now.

CNN's David Mattingly is here to talk about this new spike in sales.

DAVID MATTINGLY, CNN NATIONAL CORRESPONDENT: Carol, nothing affects buying habits more than uncertainty. And right now potential gun owners, potential gun buyers have no idea what the future might bring. So the solution for some of -- some of them right now is to go shopping.

(BEGIN VIDEOTAPE)

MATTINGLY (voice-over): Almost 1,000 miles away from Newtown, Connecticut, gun owners rush to buy more guns.

(On camera): Why are you in here today?

KEITH FISHER, GUN OWNER: I was -- I was looking for a gun that I have wanted for a long time and just wanted to get it before possible changes.

MATTINGLY (voice-over): At this gun shop and firing range north of Atlanta, already brisk holiday sales have suddenly bumped up even more. Customers fearing future gun restrictions from Congress are looking to buy now.

ORLANDO: Me and my brother collect weapons. And we have plenty of handguns and shotguns. And only one assault rifle. With all this -- all the new, you know, talk of new legislation going on to assault rifles, I really -- you know, I definitely want to get a few more before, you know, something may happen.

MATTINGLY (on camera): What's the largest clip that you can put in there?

(Voice-over): Gun collector Rudy Orlando is specifically looking to buy the AR-15. A semiautomatic rifle similar to the one used in Connecticut. And he's not alone. Demand for the weapon here is driving a $1,000 price tag.

ORLANDO: All the prices are really high. I mean, they're really high on these guns right now, you know. And they're not going to budge on the prices because they're going to be sold.

MATTINGLY (on camera): Are you going to buy anyway?

ORLANDO: I probably will. MATTINGLY: A recent spike in sales reported in stores across the country add emphasis to what is already a record sales year in the U.S. Last year the FBI conducted a record 16,450,000 background checks. This year the total so far is over 16,800,000. And that doesn't include the month of December.

(Voice-over): Future legislation could affect availability of certain semiautomatic weapons. Features on the guns. And the magazines that hold large numbers of rounds. Without specifics, store president Tom Deets says any gun owner could feel vulnerable.

TOM DEETS, PRESIDENT, SHARPSHOOTERS USA: For how it will be implemented, would the existing rifles that are in the marketplace be legal? Or would they go across the board and make everything that people have previously purchased illegal?

MATTINGLY: The uncertainty bothers non-gun owners as well. Brandon Ward is a first-time gun buyer worried about protecting his family.

(On camera): Why now? Why today? So soon after the shootings?

BRANDON WARD, FIRST-TIME GUN BUYER: Because I'm worried that the government's going to put so much regulations on being able to do this, you know, come future months that it's not going to be an option for me.

MATTINGLY (voice-over) Industry analysts see this as a possible peak to the sales growth that began with the election of President Obama four years ago. U.S. gun sales totaled $2.5 million in 2008. This year that figure could top $3.5 billion.

(END VIDEOTAPE)

MATTINGLY: And this latest bump in sales is just on top of what's already been a brisk holiday season for gun sales. The biggest gun day -- sales of guns ever? Black Friday this year.

COSTELLO: Wow. I just wanted to ask you a -- you interviewed one man who said he already had an assault rifle and he wanted to buy a couple of more. Why does he need more than one?

MATTINGLY: Well, if he's a collector and he thinks that there's a particular item that he wants now that may not be available in the future, he feels like he has to get it now. So that -- one of those customers there we talked to spoke to it -- that exactly. And this really isn't unexpected. After the shootings in Colorado earlier this year back in July, the weekend after that happened in Colorado, there was a 43 percent jump in background checks for gun buyers.

COSTELLO: David Mattingly, thanks so much.

Now on to Benghazi. An independent federal committee released vivid new details from the September attacks in which four Americans lost their lives. This report is the result of a month long investigation and says that security at the consulate in Benghazi was, quote, "grossly inadequate," to cope with the attack. And that the State Department ignored repeated requests to beef up personnel.

Ultimately the report finds there was, quote, "lack of transparency, responsiveness and leadership at senior levels."

Wow. General Spider Marks joins me now from Virginia.

So, by all accounts, this is a scathing report, isn't it?

GEN. JAMES SPIDER MARKS, CNN CONTRIBUTOR: It really is. You know, I think we shouldn't be surprised by this. As you go through the details, Carol, you realized that there was an acknowledgment that security was inadequate, specifically in Benghazi, which was a small consulate if you'll look at the report. But irrespective of size, there are functions that must be performed at every one of these outposts that represents -- this is U.S. property. This is U.S. soil. This is analogous to the corner of our -- of our little city center.

It's very important that everybody acknowledge that. And that -- and that certain requirements are made and are met. And in this particular case, it was apparent that someone in the State Department at a relatively senior level denied a request for increased security. And the problem that we should have with that is that no single authority should be allowed to make a decision to deny an enhanced security posture.

You can approve that. And you might find out that you went overboard and maybe increased too much security. That's never a bad thing. However, you shouldn't be allowed to deny those requests. That needs to go to -- a larger body and it needs to go to the very top if somebody's going to deny a request of an ambassador for increased security.

COSTELLO: OK. So I hear you, General. But this board also recommended no disciplinary action. Named no names. Shouldn't someone specific be held accountable for what you just said?

MARKS: Oh, of course. I mean, you've got to start at the very top. Nobody's out to --

COSTELLO: So is it Hillary Clinton? She's at the very top. She's the one that took blame.

MARKS: She's the secretary of state. This is her organization. And on her watch, an ambassador was killed. And this is egregious. And so there needs to be accountability. Of course there needs to be accountability. There are multiple decisions that are made at multiple levels. And when you're in large organizations like this, it's very easy for everybody to kind of moonwalk away from responsibility as that call for accountability and responsibility rolls down the table.

Somebody has to raise a hand and say, I blew it. I acknowledged the input from my ambassador. Senior U.S. representative on the ground. I denied this request. As a result, we had this incredibly bad outcome. We have to fix our processes. That's the key thing about blame. Is to go back and to identify what -- what were our expectations? What were our procedures? Where did we come up short? And let's shore those up right now so it doesn't happen again.

And I don't see that happening with a report like this.

COSTELLO: We'll see. General James Spider Marks, thanks for joining us this morning.

MARKS: Thanks.

COSTELLO: You're welcome.

Snow has not been a factor across much of the United States so far this season. But that is about to change. From the West Coast to the Midwest, six states now under blizzard warnings.

This is a live look from Denver from our affiliate KUSA. If you're trying to get home for the holidays, this storm could really screw things up. It could.

Meteorologist Alexandra Steele joins us now and tell us how much.

ALEXANDRA STEELE, AMS METEOROLOGIST: All right. Well, you know, certainly inopportune for travelers. Opportune, though, for skiers. But here's the triangle of trouble we're looking at in the next 48 hours.

From Denver to Chicago, and even toward Atlanta, Georgia. So thousands of miles are going to be impacted by not only snow, but incredibly strong winds. And then believe it or not, on the south side of this winter storm there's a severe component. So when we come back, I'll break it down, time it out to you, who will be affected and when.

That's all coming up in just a bit -- Carol.

COSTELLO: OK. Thanks, Alexandra.

Instagram backtracks. Find out what the photo sharing site is saying now about selling your images to advertisers.

(COMMERCIAL BREAK)

COSTELLO: Seventeen minutes past the hour. Time to check our top stories.

Talks to avoid the fiscal cliff will go on again today, as Republicans try to figure out if they have enough votes for their Plan B to pass. House Speaker John Boehner offering higher tax breaks to millionaires, while they talk about the broader. White House is rejecting Boehner's plan, saying a comprehensive plan and not a partial step is needed.

Michigan's governor is vetoing a bill that would have let people carry concealed weapons in schools, hospitals and other public places if they had licenses and underwent additional training. Right now, Michigan law lets gun owners openly carry weapon in those places. But Governor Rick Snyder says this bill did not allow public places to opt out. Swiss bank UBS will pay $1.5 billion to settle claims it manipulated global lending rates known as LIBOR. That's the second largest fine ever in the history of banking. The bank CEO says the firm regrets the unethical behavior.

Earlier this year, Barclays paid a $450 million fine for its part in manipulating that same rate.

In Washington state, a dramatic mudslide caught on camera.

(VIDEO CLIP PLAYS)

COSTELLO: OK. That's scary.

The mudslide knocks the train cars right off the tracks. A longshoreman took a video Monday afternoon of this. He says he was working near the hill when he started hearing the soil move. Wow.

Train service now back up and running. No one seriously hurt.

Just hours ago, "TIME" magazine unveiled its 2012 Person of the Year. And who is it? It is President Obama.

This is the second time President Obama is Person of the Year. "TIME" also gave him the title in 2008.

Joining us from New York, Radhika Jones. She's the executive editor of "TIME" magazine, and it's her third year editing the Person of the Year issue.

Radhika, welcome.

RADHIKA JONES, EXECUTIVE EDITOR, "TIME" MAGAZINE: Good morning.

COSTELLO: Good morning.

So, some might say, this is such a safe choice.

JONES: You know, I just read someone say on Twitter that a safe choice is usually a smart choice. We're thinking about the news of the year and the year ahead. But we also are thinking about the legacy of the Person of the Year archive. We want a choice that will stand up to the test of time. We felt strongly that President Obama would do that.

COSTELLO: Some people might wonder, you know, and this name is even on your short list, Malala Yousufzai, the name activist who was, you know, shot by the Taliban. In the name of girls' education, why wasn't she person of the year?

JONES: Well, it was very important as you say for us to -- to tell her story in the Person of the Year issue. It's an incredibly compelling tale. She was targeted by the Taliban after speaking out about girls' rights to education. She's become a huge role model around the world. And I think, you know, we'll see after she recovers how she uses this newfound power. She has a lot of powerful friends now. She will have a huge network.

But we felt that for 2012, in terms of measurable impact and influence this year and going forward, President Obama was the strong choice.

COSTELLO: OK. Let's talk more about President Obama. "TIME" got some never before seen behind-the-scenes look at the president. We'll take a look at those photos. We'll talk about them and the president.

This one shows the president going over his speech for Newtown while at his daughter's ballet rehearsal. Tell us about it.

That actually is -- this is the one of him hugging Michelle Obama after he won the election. Is that right? What is this picture?

JONES: I'm not seeing what we're looking at.

COSTELLO: OK. Now we're seeing the Newtown picture of the president sitting and writing a speech. Gotcha.

JONES: The Newtown picture. That's from Sunday morning. The president was working on his speech for the Sunday night vigil in Newtown.

He had gone to Sasha's ballet dress rehearsal that morning because he would miss the performance that evening. And White House photographer Pete Souza says of that picture he sees the emotion and the tension in the president's face. That from Pete's point of view, it looked like the toughest day of his presidency.

COSTELLO: In your mind, because some people have said this -- mostly strong supporters of the president -- that the speech he gave right after the Newtown shootings was the best he's ever given, maybe one of the best in history.

JONES: I mean, I agree with that. I think you saw him in all of his roles in that speech.

You saw him as the president, as a leader who is assessing his performance and the performance of leadership and finding fault and wanting to do better. You also saw him as a father, as a parent, as you could call him the mourner-in-chief. It's the president's job not only to lead politically but to set a tone for the nation and to channel a national mood and emotion. I think the president did that extremely well at Newtown.

COSTELLO: Radhika Jones talking about "TIME" magazine's Person of the Year, President Obama. Thanks so much for joining us this morning.

JONES: Thanks for having me.

COSTELLO: Just one day after causing an uproar over changes to its term of service, photo-sharing Web site Instagram says, you misunderstood. It's backtracking on the announcement it's going to sell your photos to advertisers.

The company now says it never intended to sell your images and it's apologized for any confusion you felt.

Maribel Aber is following the story from the NASDAQ market site.

Seriously?

MARIBEL ABER, CNN CORRESPONDENT: Good morning, Carol.

Backtracking, indeed. Instagram is still working out some details. It's clear about one thing -- they will not sell your photos to use in a corporate ad. Instagram says it heard loud and clear that users are confused and upset and that it's going to modify specific parts of the terms to make it more clear what will happen with your photos.

So what will the company do with your pictures? You know what, Carol? It's not totally clear.

But Instagram says one possible situation would be if a business wants to, say, promote its Instagram account and you follow the business, the company may use your photo and a message telling your friends about the endorsement. It's kind of like Facebook sponsored stories.

Instagram will give more details, though, before the changes kick in on January 16th, Carol.

COSTELLO: Well, hopefully, they'll make them more clear. If, indeed, that was the problem. Maribel Aber, thanks so much.

Still ahead, talk back question of the morning: the question today: should teachers be armed?

Facebook.com/CarolCNN. I'll be right back.

(COMMERCIAL BREAK)

COSTELLO: Now is your chance to talk back on one of the big stories of the day. The question for you this morning: should teachers be armed?

I don't know about you, but I can't imagine my first grade teacher Mrs. Van Horn (ph) packing a Glock 9. Or this, an M-4 assault rifle.

(BEGIN VIDEO CLIP)

REP. LOUIE GOHMERT (R), TEXAS: I wish to God she had had an M-4 in her office locked up so when she heard gunfire, she pulls it out and she didn't have to lunge heroically with nothing in her hands. But she takes him out.

(END VIDEO CLIP)

COSTELLO: Talking about the principal at Sandy Hook.

This is an idea that's catching on. Take a look at the map. Lawmakers in Oklahoma, Tennessee, Florida, Virginia, Texas, Minnesota, South Dakota, Nevada, and Oregon are open to arming teachers.

(BEGIN VIDEO CLIP, KDRV)

DENNIS RICHARDSON (R), OREGON STATE REPRESENTATIVE: What I'm suggesting is that we have campus responders -- two or three volunteers that are on the staff, whether administrators or teachers or staff members, hopefully, maybe prior military or prior law enforcement. But people who are trained who will be armed.

And when the first shot is fired on the next campus they can respond and meet lethal force with lethal force.

(END VIDEO CLIP)

COSTELLO: The liberal blog site "Mother Jones" did a two-month investigation on this very topic. It found more guns doesn't equal fewer mass shootings. It points out, quote, "America now has 300 million firearms, a barrage of NRA-backed gun laws and record casualties for mass killers."

The site quotes Dr. Stephen Hargarten, an expert on gun violence at the Medical College of Wisconsin. He says, quote, "Armed civilians attempting to intervene are actually more likely to increase the bloodshed given that civilian shooters are less likely to hit their targets than police in these circumstances."

And even police officers aren't expert marksmen in the heat of battle. Remember the chaotic scene at the Empire State Building last august in New York City? New York police officers confronted a gunman, and in the process wounded nine innocent bystanders. Would my first grade teacher, Mrs. Van Horn, be a better shot?

Talk back question for you this morning: Should teachers be armed?

Facebook.com/CarolCNN, Facebook.com/CarolCNN. Your responses, a little later.

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