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More Colorado Shooting Details Emerge; Balloonist Tells Hair- raising Tale; Will AIG Sue the Government over Bailout?; Examining Dreamliner Problems

Aired January 08, 2013 - 15:30   ET

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

BROOKE BALDWIN, CNN ANCHOR: Bottom of the hour here. I'm Brooke Baldwin.

In Colorado today, more heart-wrenching details are emerging about last summer's mass killing inside that movie theater in Aurora, Colorado. Today is day two of this preliminary hearing in which prosecutors are trying to show that they have enough evidence to take this gunman to trial.

If the defense is planning to plead insanity, the father of victim Alex Teves didn't buy it as he was watching the suspect in the courtroom.

(BEGIN VIDEO CLIP)

TOM TEVES, FATHER OF SHOOTING VICTIM: I could see it on his face as he was watching the videos of himself. He got very animated. There is no way that guy is crazy. That guy is evil, but there is no way that guy is crazy.

(END VIDEO CLIP)

BALDWIN: The guy here, the shooter, James Holmes, faces 166 charges in that rampage, 12 lives lost. Testimony from police officers who first arrived on the scene has been nothing short of bone-chilling.

CNN's Casey Wian joins me outside that courthouse in Centennial, Colorado, where that hearing is under way.

Casey, weapons purchases, dating Web sites here? What is going on there today.

CASEY WIAN, CNN CORRESPONDENT: Well, we had some very dramatic testimony today, Brooke, and some of it goes very much to the issue of what is expected to be the defense by James Holmes, which is some sort of limited mental capacity defense, the prosecution clearly trying to show that he planned this attack out well in advance of when it happened.

They called to the stand an ATF agent who testified that James Holmes began his purchases of weapons back in May of 2012, a couple of months before the shooting took place, testified he bought four firearms over the Internet and at -- on guns -- at gun stores, also purchased 6,300 rounds of ammunition, as well as two canisters of tear gas. And for whatever this is worth, they brought forth evidence that, at one of those gun stores he visited, there is videotape on July 1st showing him with his dyed-red hair, just about three weeks before the shooting.

Also, something that may go toward his mental state and knowing what was at stake here, he joined two adult dating websites and, on both of those sites, he posted, will you visit me in prison? That according to a police detective who was investigating the case, Brooke.

BALDWIN: Casey, what about his booby-trapped apartment? Is there any new information about that?

WIAN: A lot of new information and some of this is really, really bizarre, very chilling when you think what could have happened to officers had they walked into that apartment and not known. They were warned by James Holmes that it was booby trapped.

They testified, showed pictures, fishing line at the height of five feet going across his apartment. That fishing line was attached to a canister containing glycerin that was above a frying pan that had some other material in it.

If that line was tripped, it would have dumped the glycerin into the frying pan, creating an explosion. Also, napalm inside his apartment.

BALDWIN: Wow.

WIAN: The floor, carpets, soaked with gasoline, other canisters of explosives. And get this. He even had a second way to blow this apartment up, allegedly.

There was a boom box outside, playing music, hopefully to attract people in Holmes' mind, according to the testimony.

Next to it, a radio-controlled car that, if someone had moved that car, would have set off the bomb inside.

Clearly, the prosecution showing this took a lot of planning, Brooke.

BALDWIN: Yeah, I remember at the time there was a young woman who talked about how she heard the loud music, she went to the door and she thought about opening it and she didn't.

Thank goodness for her and probably anyone else in the building.

Casey Wian, thank you so much. We'll check back in with you through the week.

But now to the story that has a lot of you talking and tweeting. The nuptials had everyone floating on air and then this happened.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: Landing positions, everybody. Brace. Hold on.

(END VIDEO CLIP)

BALDWIN: The pilot of this hot air balloon in Southern California had to set it down in a hurry here. A gust of wind caused the basket to swing back and forth and dangerously.

On board in the basket, you had newlyweds Jonathan and Kerin Narcisse. They had just said I do high above the air at sunset, floating over the countryside. It sounds like a it could have been beautiful.

Friends and relatives, they were in the gondola when it crashed into this neighborhood. This is near San Diego. They were lucky not to hit any high power lines nearby.

Good thing is -- this is how we can tell the story -- no one was seriously hurt, but a scary moment, certainly, for everyone.

All the same, Jonathan, one half of this newlywed couple, joins me here by the phone. Jonathan, welcome to you. Congratulations, I guess. Let me just ...

JONATHAN NARCISSE, SURVIVED BALLOON CRASH (via telephone): Thank you. Thank you very much. And it was a wonderful, wonderful trip and ...

BALDWIN: What happened? What happened because this ...

NARCISSE: ... a perfect ending to the fairy tale.

BALDWIN: Well, speaking of fairy tales, I mean, this wasn't even your idea, right? You hate heights.

NARCISSE (via telephone): Yes, I am basically terrified of heights. I was talking to a local reporter and I could give them a point of reference as a golf course called Waveland and they have these high hills. And I've never played Waveland because in the golf cart when you go up the hills, it freaks me out.

So, needless to say, going up a few thousand feet higher than the hills at Waveland Golf Course was an experience.

But, you know, when you are in love, you do things because you are, so ...

BALDWIN: Yes, but also when you're ...

NARCISSE (via telephone): I'm just glad I wasn't asked to do a space jump or something.

BALDWIN: Well, also when you're in love, Jonathan, many other halves like to utter those famous four words, I told you so. Did you get to do that when you were on the ground?

NARCISSE (via telephone): No, actually, when I got on the ground and everyone was safe and the rose that the minister gave us was preserved, I went over to her and gave her a hug and said, we have to go skydiving on our anniversary next year.

BALDWIN: And you have to be kidding, right?

NARCISSE (via telephone): I'm dead serious.

BALDWIN: You are serious?

NARCISSE (via telephone): Especially since you can tandem jump. I mean, look, understand, this skydive will not be a solo skydive. It will be with a very, very experienced set of skydivers who tether us to them very securely and value their own lives even more than ours.

BALDWIN: It's a way to remember a wedding, as if saying, "I do," is not enough.

Please tell me you have some fabulous honeymoon planned.

NARCISSE (via telephone): Well, I actually had to get on a plane with my daughter the next morning at 6:00 and, so it was an adventure.

And then we got on the plane, Inside Edition was actually trying to talk us into staying in San Diego, but my one daughter has volleyball practice and the other one needed it get back, too, so we're now back in Des Moines, Iowa.

BALDWIN: Well, Jonathan, best of luck to you. We'll follow up and see if you make that tandem jump a year from today and I suppose this story gives new meaning to the phrase, "wedding crashers."

Jonathan Narcisse, best to you and your other half. We appreciate it.

Coming up next, it's a hard one to really wrap your head around. AIG executives might sue the very people who bailed them out in the first place, the same people who gave them billions of dollars to save the company.

Ali Velshi has a little something to say about this one, I am sure. He's next.

(COMMERCIAL BREAK)

ALI VELSHI, CNN CHIEF BUSINESS CORRESPONDENT: Republicans think the debt ceiling law is there to police government spending. I'll tell you why they're wrong and, big surprise here, Rush Limbaugh is talking out of his elbow again.

From the CNNMoney Newsroom in New York, I'm Ali Velshi. This is "Your Money."

Up first, AIG.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: We repaid every dollar America lent us.

UNIDENTIFIED FEMALE: Everything, plus a profit of more than $22 billion.

UNIDENTIFIED FEMALE: For the American people.

UNIDENTIFIED FEMALE: Thank you, America.

UNIDENTIFIED MALE: Helping people recover and rebuild, that's what we do. Now, let's bring on tomorrow.

(END VIDEO CLIP)

VELSHI: AIG, the massive insurance company that was at the center of the 2008 financial crisis, was taking those ads to thank America for having its back and reminding us in not so subtle terms that taxpayers earned better than a $22 billion profit on the $182 billion bailout that AIG got from taxpayers.

Now, I don't know what you do when you're grateful for something, but I'll tell you what AIG is considering doing, biting the hand that fed them.

AIG's board is considering joining a lawsuit brought by shareholders in 2011 against the U.S. Treasury Department and the Federal Reserve that claims the $182 billion bailout was unfair to shareholders.

When I first heard this, my hair nearly fell out, but it's not as simple as it sounds. This lawsuit was actually filed by shareholders of AIG, including the former chairman, Maurice Hank Greenberg.

Greenberg essentially built AIG into the multinational insurance powerhouse that it was, that is until risky loans that it backed with exotic products nearly toppled the company, the U.S. banking system and earth.

Greenberg lost a lot of money as AIG's value plummeted. Hank Greenberg and several other shareholders of AIG brought the lawsuit in 2011 against the federal government, claiming the terms of the loan were unfairly harsh and AIG, now run by a new management team and a new CEO, has a fiduciary responsibility to its shareholders to look at the lawsuit and decide if they will join it.

Joining the lawsuit would be a funny way to thank taxpayers for the loan. Most people think AIG simply won't do it.

On the money menu, 10 banks accused of hurting homeowners while foreclosing on their homes agreed to pay out to settle claims against them. The banks include Bank of America, Citibank, Wells Fargo, and others.

This is how the settlement breaks down. $3.3 billion in direct payments to borrowers, another $5.2 billion to modify loans or take other measures 3.8 million borrowers will get cash under the agreement.

On another story, Boeing's new 787 Dreamliner is looking more like a nightmare. In the latest in a string of mechanical glitches, today, a Japan Airlines Dreamliner about to take off was found to be leaking fuel on the runway.

Authorities responded by aborting the flight and towing the plane back to the gate cleaning up the mess

On Monday, a fire broke out on another Japan Airlines Dreamliner at the same airport and, last month, one was diverted to New Orleans because of mechanical problems.

While the incidents aren't necessarily related, the glitches are clouding the Dreamliner's debut in the skies. And that has shareholders concerned.

KFC is in trouble with investors. Yum! Brands warned of a 6 percent sales drop in China for the last quarter of 2012. Why? The controversy over food safety standards at local suppliers is to blame

Chinese authorities are investigating allegations of excess antibiotics in chicken items sold at KFC restaurants. KFC China has is a huge market for KFC with 4,000 restaurants. That's four times the number that McDonald's has in China.

That has investors nervous. Yum! stock is down 4 percent today.

Finally, Rush Limbaugh took a swipe at me last week because he doesn't agree with my take on the debt ceiling debate that's about to consume Washington and the country again.

He's accused me of being, quote, "a low-information reporter" because I dared to say what the debt ceiling law isn't.

(BEGIN AUDIO CLIP)

RUSH LIMBAUGH, RADIO SHOW HOST: Think of the debt limit as your monthly credit card limit.

You can't go over it on your credit card and the United States government can't spend more than what its credit limit is or its debt limit.

Now, Ali Velshi at CNN says that has no relation to spending.

(END AUDIO CLIP)

VELSHI: That's just the best part. He went on for about 11 minutes.

But let me explain again to Rush. Back in the old days, the U.S. had a system where every time a bill involving money was passed, the Treasury had to raise money for it by issuing bonds since the U.S. has rarely had a surplus.

So, the debt ceiling law was established to give Treasury the flexibility to borrow chunks of money without going to Congress to get approval every time a law was passed.

It had absolutely nothing to do with spending control or debt control. It was a technicality.

Most functioning countries don't have any such thing because they understand that if the government spends the money it has to pay the bills, but Republicans seem to think the debt ceiling is a good tool to limit how much the government spends.

The current ceiling was officially hit on December 31st, but like last time, the U.S. Treasury is using extraordinary measures to get through until about mid- or late-February. Maybe even early March.

If Congress doesn't act by then, the government may not be able to pay some of its bills. It's as simple as that.

Rush, I hope you're taking notes.

That's it for me from the CNNMoney Newsroom in New York. I'm out. Same time tomorrow.

(COMMERCIAL BREAK)

BALDWIN: Boeing says it will define the future of air travel, but, so far, the company's brand-new 787 Dreamliner is making most of its headlines for all these mechanical problems, i.e., just today, just a couple of hours ago, this Japan Airlines 787 was preparing to depart Boston when it started leaking fuel.

That flight had to be canceled and. just yesterday, same airport, same airline, a small fire broke out in another Japan airlines 787, just about half an hour after landing from the long flight in from Tokyo.

All passengers and crew had already left the plane. But let's talk about this with Richard Quest there for us in London.

Richard, time after time, what's going on?

RICHARD QUEST, CNN INTERNATIONAL'S "QUEST MEANS BUSINESS": Well, Boeing will say that these are the sort of glitches that happen with any new aircraft, that they are -- that the 787, the Dreamliner, is the most technologically advanced, it uses carbon fibers, it is a totally new aircraft, absolutely state of the art, and that that's what you expect.

It has a 20 percent lower fuel burn rate and this is the sort of thing that happens with major new projects.

BALDWIN: But? I hear a "but" coming on.

QUEST: All new aircraft models do have these glitches and teething problems. However -- however -- the fact that this plane has so many in such a short period of time and some of them seemingly quite serious, like the fuel leak, will be giving cause for concern.

And that's why the NTSB here in the United States is looking at airworthiness, is looking at what happened and is certainly not going to be taking this very lightly.

These were two serious incidents that happened on Dreamliners.

BALDWIN: And, again, what is so special, what is so revolutionary about these planes? QUEST: The way it's built. No aluminum, carbon fibers, composite, the plane is lighter. It has new engines. It has those bigger windows. It has new avionics. Everything about the plane, what it's made from and the way it's made.

Boeing has subcontracted large parts of the manufacture to different companies, particularly in Japan and elsewhere. The parts are then flown into the United States where they are assembled, both in the Carolinas and out in Washington state.

So, the totality of the plane is a revolution for Boeing in how it's made, what it's made, and that's why perhaps there are these problems.

But here's the important thing to bear in mind, would I get on a Dreamliner tonight and cross the ocean? Yes. No question about it.

BALDWIN: I was going to ask you. You would?

QUEST: Will there have to be some really serious questions about how this plane is made and why there are so many teething problems, but even on planes on the way from the factory to the airline, the answer is yes.

There have only been 50 of them made so far and there have been probably, by the airlines' point of view, too many of these problems to date.

BALDWIN: All right, Richard Quest in New York, forgive me. Richard, thank you very much.

Little known clause in the ObamaCare law is changing what doctors and nurses talk to their patients about, including guns.

Dr. Sanjay Gupta tells me why ObamaCare limits that discussion.

(COMMERCIAL BREAK)

BALDWIN: When it comes to your safety, doctors talk to you about all kinds of things, what you should and shouldn't eat, why you should buckle up if you're in a car, but the one thing they can't talk to you about, guns.

Did you know that buried in the president's controversial Affordable Care Act is a section called "Protection of Second Amendment Gun Rights" and chief medical correspondent Sanjay Gupta is here to explain.

My first question when I heard about this is, why the is subject of guns in ObamaCare?

DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT: Yeah, you know, I think this was surprising to a lot of people, even within the medical profession.

And I'll tell you, the NRA takes credit for this. They've been very public about this. They lobbied hard to have some of these specific provisions within the Affordable Care Act and it was Senator Harry Reid that, ultimately, put it in.

It's a small provision, Brooke, I'll tell you. Just a few lines and it doesn't specifically say doctors can't ask patients about guns, but you can't write it down. You can't collect the data. It can't be part of wellness programs.

So, really -- it really inhibits -- the NRA will say, look, we do this so we can have people not discriminated against in terms of their insurance premiums for owning a gun. People who don't like this say, we need the data.

BALDWIN: So, they can ask about it. They just can't write it down, per se.

GUPTA: Collect it for research, yeah.

BALDWIN: Language. What about Florida? They're taking it a step further there?

GUPTA: Yes, it's interesting what's happening in Florida. I mean, the governor there would prefer that the conversation just doesn't happen, that doctors do not ask patients about guns at all.

And I'll tell you, a federal judge overturned that, but that's now being appealed and it's not just Florida. It's seven other states, as well. Some places like to take it a step further.

BALDWIN: But, you know, you would think health professionals, doctors and nurses, would want to talk about gun safety, right? You would think that that would prevent future gun deaths. That would be a good thing for the NRA, so why stand in the way of a potential conversation there?

GUPTA: Well, you know, it's a very emotional issue, I'll tell you.

Again, if you ask the NRA, they'll say, look, it's because we don't want gun owners to somehow be discriminated against.

But this has been going on for a long time, the early '90s, where there's been a lot of money, a lot of lobbying toward, you know, not asking these questions, not specifically collecting information on guns, who owns guns and, as a result, not getting the gun safety sort of funding.

I mean, there's very little funding in this country that goes toward gun safety.

I went to the doctor the other day. I got asked if I had a swimming pool, smoke detectors, carbon detectors and whether we had guns in the house.

BALDWIN: They asked you that?

GUPTA: My doctor asked me that. He asks me that every time I go to the doctor and it's part of the standard sort wellness part of the exam and I have small children, so that's part of it. But look at the numbers, though, as well. You know, between the ages of 5 to 14, it's the third leading cause of death, is guns. Fifty- seven-hundred-some children died over the last couple of years, 34,000 people injured. So, this is why doctors ask because of the public health component of it.

BALDWIN: Sanjay Gupta, thank you very much.

GUPTA: Stay tuned.

BALDWIN: I will.

GUPTA: All right, thank you very much.

BALDWIN: Dr. Gupta, thank you.

Take a look at this. A man is on the top of that. You see him? He's climbed atop this now defunct roller coaster then hops down into a police boat. But wait until you hear why he was there in the first place.

(COMMERCIAL BREAK)

BALDWIN: In Seaside Heights, New Jersey, a man climbed to great heights here to call attention to Superstorm Sandy's recovery. You see him there? Look for the flag and he's below that.

This is the ruins of the iconic Jet Star Roller Coaster, the structure swept into the ocean during the height of that storm.

And before climbing down -- you see him hopping into that police boat waiting below -- he planted the American flag on top.

And just like any other military wife, Ashley Broadway spends her life on bases all around the world. She is caring for her young son and spending months separated from her spouse.

But what makes her life different from most military wives is the fact that she's married to a woman. She's married to Lieutenant Colonel Heather Mack.

Now, living on Fort Bragg Base in North Carolina, Ashley Broadway tried to join this social support group. They're called the Association of Bragg Officers' Spouses.

She wanted to join. She wanted to meet other spouses in her situation, maybe participate in events around the base. But she was told no.

Earlier, I spoke with Ashley and I asked her directly why she believes her application was rejected.

(BEGIN VIDEO CLIP)

ASHLEY BROADWAY, DENIED ADMISSION TO OFFICERS' SPOUSE CLUB: I believe it's because I am in a same-sex marriage and, you know, I tried to ask the president and the board members to call me so that we could discuss this further. I never heard from anybody.

And then I went to basically the Internet and wrote an open letter and then from there I heard from people all over the world, other gay and lesbian service members and their families and, through my organization that I work with, American Military Partner Associations, more people were stepping up and saying, yes, I've been discriminated against because of various reasons.

(END VIDEO CLIP)

BALDWIN: We'll follow up with Ashley Broadway, but I do want to let you, of course, we're CNN. We reach out to get the other side of the story. Tried talking to some folks with that spouse association group for comment. We got no comment.

We did go on their website and they posted, basically, that they will be reviewing their admission policy at the next meeting, so we'll follow up with them, as well.

A quick reminder, you can always check out any interviews that are on this show if you missed them, CNN.com/Brooke.

And now Wolf Blitzer in Washington. Hey, Wolf.

WOLF BLITZER, ANCHOR, "THE SITUATION ROOM": Brooke, thanks very much.