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8.2 Earthquake Hits Chile; NATO Weighs Response To Russia; Jeanne Moos's Top April Fools Pranks; Drone Found On South Korean Island; GM CEO Grilled on Capitol Hill; Pilot Error Cited In Asiana Airlines San Francisco Airport Crash

Aired April 2, 2014 - 8:00   ET

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


KRISTIE LU STOUT, HOST: I'm Kristie Lu Stout in Hong Kong where welcome to News Stream where news and technology meet.

Now powerful earthquake strikes Chile, killing at least five people.

NATO foreign ministers meet in Brussels as Russia accuses NATO of reverting to Cold War rhetoric.

Another day, another fruitless search for any sign at all of MH370.

Daylight is beginning to reveal the extent of the damage caused by a strong earthquake in Chile.

Now it struck late Tuesday killing at least five people. The 8.2 magnitude quake, it caused small landslides and power outages. Hundreds of thousands of coastal residents evacuated in anticipation of potential tsunamis.

Those warnings have now been canceled. Initial reports indicate the country may have dodged major destruction.

Now the president of Chile, Michelle Bachelet, is due to tour the quake zone later on Wednesday.

And for more, let's bring in Mari Ramos from the world weather center -- Mari.

MARI RAMOS, CNN INTERNATIONAL CORRESPONDENT: Well, wow, and listening to those sirens gives me chills, Kristie. That's amazing.

You know, I think that is what saved lives here, that even though these waves may not have caused a lot of structural damage, we were very lucky, even a smaller wave than this could cause significant loss of life if people were near the shoreline. And the fact that so many were able to evacuate before the waves got there, I really think made this much less severe than it could have been. It could have been catastrophic, I think, had that happen.

I want to start you off with this map. This is a Google Earth map. Here's Iquiqui, here's Arica out to the north. We're looking at Northern Chile.

The color that you see here is from the U.S. Geological Survey. And what they're showing us is the shake map. In other words, this area in yellow here experienced strong to very strong shaking, that would include about a million-and-a-half people. The dots that you see here are the actual earthquakes. The larger ones, the largest quake that was that 8.3 earlier, that was where the epicenter was. And then they're color coded.

The red ones that you see right here are the last two that happened within the last hour. And I think if we click on that, a 5.4 just 92 kilometers off the coast and the other one a 5.1

So we are going to see possibly hundreds of these as we head through the next days and weeks to come after such a powerful quake.

Now as far as the tsunami warnings, all of those already have been canceled. Now , when we looked here, the 8.2 quake at 20 kilometers deep in the ocean, it did trigger that tsunami. And we were looking at the height of those waves earlier. In some cases just under two meters. That's pretty significant. Like I said, all of those watches have been canceled, all of the warnings have been canceled. But there are still some advisories out there pending and this is the reason why.

I want to go ahead and show you this animation from the Pacific Tsunami Warning Center. And it's really quite telling, look on the right side of your screen. You begin to see those ripples come out off the northern coast of Chile. That is where that quake actually happened.

Now you see those waves propagate across the entire Pacific Ocean basin.

And then to the left you see New Zealand, we have Hawaii, and it's precisely in Hawaii where they still have that tsunami advisory just for strong currents, possibly odd currents through at least 8:00 am time local time.

The other area that is still under a type of advisory, but no threat of tsunami is New Zealand. And you can see why from here. You can see all of those ripples that form as the waves, small of course in this case, reach that area.

The concern here is if people are near the shore line, you could also experience unusual waves or currents. And authorities there are asking people to stay away from the water until all of this passes. So that's still extremely important.

As far as the actual waves that were affected and this -- if you look at the elapsed time, that's 28 hours from now. So we still have some time to go.

Iquique had a 2.1 meter wave, Pisagua had a 1.96, those were the larger ones closest to the epicenter. And notice even as we head back into southern -- farther away in Peru about half a meter wave there. Fortunately the threat for these areas has passed, the weather is calm across this region and, Kristie, like I said it could have been much, much worse.

LU STOUT: Indeed, indeed. An incredibly visualization of the waves there. Mari Ramos, thank you.

Now Chile sits on the so-called Ring of Fire. The USGS says the world's largest recorded earthquake struck Chile back in 1960. The 9.5 magnitude quake killed more than 1,600 people. Most casualties and damage were caused by the large tsunamis that followed.

Now Puerto Saavedra was completely destroyed. Waves there carried some houses 3 kilometers inland. And more recently, an 8.8 magnitude earthquake, it struck Chile in 2010. It hit offshore. It killed about 500 people. And according to researchers, the Earthquake, it was violent enough to move the city of Concepcion at least three meters to the west.

And scientists, they anticipate another big one in the future. The big question is when. Now geophysicist Mark Simon spoke after Tuesday's strong earthquake.

(BEGIN VIDEO CLIP)

We expect about another 8.8, 8.9 earthquake here sometime in the future. Could be tomorrow, it could be in 50 years. We do not know when it's going to occur. But the key point here is that this magnitude 8.2 is not the large earthquake that we were expecting for this area. We're actually still expecting potentially an ever larger earthquake.

(END VIDEO CLIP)

LU STOUT: Again, experts don't know when the next big one might occur. For now, the nation is focused on recovering from Tuesday's earthquake.

Now let's bring in journalist Martin Arostegui from the Chilean capital of Santiago. Martin, thank you so much for joining us here on CNN. Are you now -- it's day break -- are you getting a clearer picture of the damage caused by the quake?

MARTIN AROSTEGUI, JOURNALIST: Yes, indeed. I mean, it's not as bad as may have been expected. Some houses have fallen, some of the old houses have had collapsed. The death toll may go up a bit higher, maybe one or two more people may -- are believed may have died. The power situation is still very shaky, because parts of the (inaudible) are flooded and there is hesitancy to put transformers back on.

But the main thing, Krisite, is that, yes, another earthquake is by all scientific estimates expected -- and it could be relatively soon -- a seismologist, which has been interviewed here, who I've spoken with, says that only 30 percent of the energy released by -- the energy released by the -- the energy caused by the movement of the tectonic plates has been released. So therefore there is still a lot of accumulated energy that could result in another earthquake at almost any moment.

LU STOUT: So people there in Chile are bracing themselves for another potentially large earthquake. In the near-term, the immediate aftermath -- I have a question about security, because there were reports of looting. We also know that after the earthquake, hundreds of prisoners managed to escape from a facility in Iquique. Has security been an issue for Chilean authorities?

AROSTEGUI: Well, yes. In fact the first thing to reach Iquique was an air force plane carrying police reinforcements. Officials say that they have recaptured most of the hundred or so -- 90, I believe was the number given. Women prisoners have escaped from a prison -- from a jail in Iquique, but that could be -- that may be an optimistic or perhaps rather rosy estimate.

LU STOUT: And now, the overall death toll has been rather limited on the back of this huge, huge earthquake. How much of that is due to the general preparedness among people in Chile to anticipate major earthquake?

AROSTEGUI: Well, yes. I'm sure the evacuation helped. You know, since the last earthquake when hundreds, if not thousands of people were killed by a tsunami that swept in, which -- whose after the warnings and sign that it was coming had been ignored. Authorities have taken no chances this time. The moment that the earthquake hit, 900,000 people were evacuated from the area through a prearranged plan through drills, which they had undergone, which they would walk -- mainly walk into inland areas, often into the hills, into the hinterlands behind their towns and cities.

This undoubtedly helped. This undoubtedly kept the death toll down, because there has been debris, there have -- bridges have collapsed, houses have collapsed, there have been fires. So it's -- that and the preparedness, the drills, the fact that the Chilean authorities have decided to take no chances has helped -- has helped the damage and casualties remain at a rather limited level.

LU STOUT: That's right. Thanks to preparedness, to drills and certainly lessons learned since our last major earthquake in Chile back in 2010.

Martin Arostegui joining me live from Santiago, Chile. Thank you so much for that update.

Now, at least one person has been killed amid three explosions at Cairo University. Now Egypt's interior ministry says a senior police officer died in the attack and at least five others were wounded. Investigations are underway, but it appears two of the explosives were planted in a tree.

Attacks targeting security forces are becoming increasingly common in Egypt following the army's removal of the president last July.

You are watching News Stream. And coming ahead this hour, in Belgium, NATO considers its response to the Crimean crisis. We'll have the latest on NATO's plans to deal with Russia.

And in Taiwan, thousands of protesters are angry at the government's new tie to China. We'll tell you how students are getting their messages heard around the world.

And all passengers on board missing flight 370 have been cleared in the criminal investigation. Malaysian police say none of the passengers was involved in the hijacking or sabotage.

(COMMERCIAL BREAK)

LU STOUT: Now, NATO leaders are meeting in Brussels right now. They're working out a response to Russia's annexation of Crimea.

Now the 28 nations in the alliance said on Tuesday they will suspend cooperation with Moscow. They're looking at ways to boost their military presence in central and eastern Europe where an escalating east-west crisis is looming large.

Now NATO's chief is expected to speak soon. We'll bring you that speech to you live when it happens.

Now earlier this week, Russian President Vladimir Putin told the German chancellor that he had ordered some troops to withdraw from Ukraine's border. But NATO says it has so far seen no evidence of that.

for more, let's go straight to Karl Penhaul, he's in Kiev. And Karl, is Russia actually boosting the number of troops at the border?

KARL PENHAUL, CNN INTERNATIONAL CORRESPONDENT: Well, Kristie, there has certainly been in the last couple of days a little bit of controversy about exactly what Russia is doing with its troops numbers on those borders. Yes, we have heard those comments from Vladimir Putin to Germany saying that he's pulling back one infantry battalion from one of the eastern corners of the border, but that really only amounts to about 800 men.

So within the context of NATO's estimate of more than 40,000 Russian troops massed on that border, that really is only a tiny speck, even smaller still if you look at what the Ukrainian government is saying and they said earlier -- earlier last week, that there were 88,000 Russian troops massed on that border.

Indeed, what the Ukrainian government's interpretation of all this latest information is, is that Russia is not, in fact, pulling any troops back, but simply repositioning them, swapping some units out, rotating others in and moving them along those sectors of the border.

And if you look at some of the comments that have come out via other news agencies this morning quoting General Philip Breedlove, one of NATO's top military commanders, he says that he believes that the Russian force on that border is so well prepared, so combat ready, that it could roll into parts of eastern Ukraine and achieve its objectives within three to five days. That's his assessment of the readiness of the Russian troops and also the relative strength of the Ukrainian military on this side of the border, Kristie.

LU STOUT: Now to all the international condemnation out there about Russia's actions, Russia has been retaliating. It has been lashing back with this Gazprom price hike for Russian natural gas in Ukraine. Is that in effect? Are people in Ukraine feeling the pinch there?

PENHAUL: Well, absolutely. I mean, you've got to look at that, haven't you. And you realize that in this crisis, Russia is holding a lot of the cards, a lot of the economic cards as well, because there is very strong trade links with some of the European nations and Russia and also this key issue of energy, because around half of Ukraine's natural gas comes from Russia, about 30 percent of western Europe's natural gas comes from Russia as well, a lot of that being transported through the Ukraine as well.

And so this announcement now that Russia will end its subsidies on Ukrainian gas, which effectively means more than a 40 percent price hike inevitably hit ordinary Ukrainians in the pocket.

The good news, I guess, of all this is now that we're moving out of the worst of winter into spring, well, not such a dire need for heating in apartment buildings and such like going forward. And so there is a few months to see what they can do to cut this dependency on Russian energy.

But really that is what Russia is relying on. They're holding a lot of the economic cards. And that's why Europe doesn't really want to get locked in an economic or even less a trade war with Russia, Kristie.

LU STOUT: Now, we heard from NATO. The alliance says it will suspend cooperation with Russia. Also in the United States, the House of Representatives has approved a bill to sanction Russia and that will go straight to Obama's desk for him to sign.

Are those gestures from the west to punish Russia, is that providing any comfort to the people of Ukraine?

PENHAUL: We've been talking a lot to ordinary Ukrainians both here in Kiev and up there on the northeastern border over the last few days, they on the one hand say, yeah, great that the United States and Europe are introducing some sanctions that is a little sign that they feel that those fall well short of what is really needed.

One man who is a member -- a civilian who is a member of a self- defense committee who says that he'll take part in a guerrilla war if the Russians come across the border, he was telling me. He says, you know, it's just like this, this is what Europe and America are doing, wagging their finger at Russia, but really failing to take any concrete action. He says it's all business for them. Meanwhile, we're abandoned here, because if the Russians roll across the border, we're going to have no reaction time and it's going to be time for us to stand up and be counted. And we know we can't count on the Europeans or the United States to be behind us, Kristie.

LU STOUT: Karl Penhaul, joining me live from Kiev. Thank you.

And now an update on a large protest movement that's underway in Taiwan. Now the demonstrations are largely driven by students who are angry over a controversial trade pact with mainland China.

Now carrying sunflowers as a symbol of hope, they've been occupying the parliament in the city of Taipei, the capital of Taiwan.

Tens of thousands of people have rallied over the past two weeks. And things escalated on Tuesday when government supporters and students clashed at the site of one protest.

Now the students have been live streaming from their protests, but take a look at this, four of the students addressed some questions on a Reddit AMA, a worldwide ask me anything forum. And now Reddit has been used by people like Barack Obama, Bill Gates. On this AMA, the protesters in Taiwan, they explained that they are worried about China's influence on Taiwan.

Now protester Oliver Chen says this, quote, "the cost of this trade pact, simply put, will be our freedom and the future of our country," unquote.

You're watching News Stream. Still ahead,Malaysian police, they have been questioning families about their relatives on board missing flight 370. And now they say the passengers have been cleared of either sabotage or hijacking.

(COMMERCIAL BREAK)

LU STOUT: Coming to you live from Hong Kong, you're back watching News Stream.

And let's go to a visual version of all the stories we've got in the show today. We started with that huge earthquake in Chile. And little bit later, we'll update you on the search for Malaysian Airlines Flight 370.

But first, Amazon is set to host an event focused on their video business in just a few hours. And the question is, exactly what are they announcing? There is speculation they could unveil a new TV streaming device, that would be a logical move since Amazon does have a video streaming service. But it would put them in competition with everyone from Apple to Google, even Microsoft.

Let's get more now from our regular contributor. Nick Thompson is the editor of the New Yorker.com. He joins me live from New York.

So, Nick, what exactly will Amazon announce a couple hours from now?

NICK THOMPSON, NEW YORKER.COM: Well we don't exactly what they're going to announce, but we're pretty confident that they're going to announce some kind of set-top or dongle device that will let you stream shows, or any kind of TV content or video content from your computer to your TV, or steam things like Netflix just, you know, from the cloud.

It's going to be competitive to Google's Chromecast, it's going to be competitive to Roku, it's going to be competitive to Apple TV, so they're going into a very competitive marketplace, as you say, but it's also a marketplace that is booming.

I was just looking at the best selling electronics on Amazon.com. Number one, number two, number three are all of these devices.

So Amazon knows these things are hot and they want to get in on it.

LU STOUT: It's a competitive market, but the market it booming, that's why they want in. But one thing that, let's say, Apple TV doesn't have is an App Store, so how much of a difference could that make if Amazon opened the TV up to apps?

THOMPSON: Well, Amazon will open the TV up to apps, but I don't think Amazon is going to be -- I don't think that is going to be Amazon's main play, because what Amazon wants to do is to sell these devices, perhaps make some money on that, get these devices out there. What they're really going to want to do is they're going to want to get you to get one of these devices and then to download lots of Amazon content and to watch Amazon shows and to watch shows from Amazon and to watch shows created by Amazon.

Amazon wants to create the shows, sell you the shows and then be the device on which you stream the shows. So they'll have to have an app store, because you'll have to have things like Netflix in there.

But what they're really going to want to do is to push you to Amazon, Amazon, Amazon, Amazon. So the app store probably won't be totally central. It'll probably be a big Amazon button right when you go there.

LU STOUT: And then finally, I'm trying to understand -- or understanding the business model here. An Amazon streaming device, would it be like the Kindle, right? The money to be made here, it's not in the device at all, but in the software, in the content to be purchased through Amazon.com?

THOMPSON: Right. That is probably it. We'll know a lot more when the pricing comes out. It's not impossible.

One of the big questions is how this thing is going to cost. It'll either cost a very small amount, or it will cost basically nothing. It's entirely possible that Bezos will say, look, all of the money to be made is to be made on the content. And in fact the stock market doesn't really care how much profit we make, so we can even make a lose a little bit of money on the content and a little bit of money on the device and we'll be OK.

I think in the long run, what Amazon is going to want to use is to use this device -- they're going to put this device out, they're going to make it very cheap, they're going to hope lots of people buy it. They're going to hope that leads lots of people to use Amazon content and that ultimately leads Amazon's television content business to become a really big business.

So they're kind of a couple steps away from making money. It's a complicated business model, but I think it makes sense for them.

LU STOUT: Yeah, Amazon is such a force in ecommerce and in retailing. I mean, do you think that it has what it takes to be a force in multimedia?

THOMPSON: Well, you know, it's not clear it has the creativity to do it. It's not clear it knows how to do this stuff. It's not clera it knows how to make shows. It's not clear that a company can pivot and learn how to do that.

On the other hand, Amazon is better than anybody at selling stuff. It's better at getting data on what we want. It's built a really great website with really great recommendations that works really quickly. And it has more information on us than almost anybody else. So it can make 25 pilots analyze everything about how we watch them and how we buy them and then figure out which shows to make. So it's entirely possible this could really work.

LU STOUT: Yeah, an additional revenue stream there is selling all the data of all the eyeballs out there.

Nick Thompson joining me live, thank you so much. Take care.

Now, coming up right here on News Stream, as investigators try to piece together the mystery of what happened to flight 370, we learn about new rules Malaysia Airlines is putting into place. We'll bring you the latest next.

Also ahead, U.S. lawmakers, they press the CEO of general motors for answers about a faulty car part and why the company did not act sooner. I'll tell you what she had to say.

(COMMERCIAL BREAK)

LU STOUT: I'm Kristie Lu Stout in Hong Kong. You're watching News Stream. And these are your world headlines.

At least one person has been killed in bomb attacks at Cairo University. Egypt's interior ministry says a senior police officer died and at least five people were wounded. Now two bombs went off outside the university. And a state run news agency reports a third attack at the main gate. Now attacks targeting security forces, they are becoming increasingly common in Egypt following the army's removal of the president last July.

An 8.2 magnitude earthquake off Chile's northern coast left at least five people dead and triggered a major evacuation of coastal areas. Now the president of Chile declared parts of the country a disaster area and said help would be sent. Waves up to two meters high reached some coastal areas, but initial warnings of a more destructive tsunami were soon canceled.

One of the world's biggest football clubs was given a surprising sanction by FIFA. Barcelona has been banned from signing any new players for 14 months. Now the club was punished for breaking rules on signing players under the age of 18. They won't be able to add new players until the summer of 2015.

Investigators have cleared all passengers on Malaysia Airlines Flight 370 of playing any role in possibly hijacking or sabotaging the plane. Since March 16, Malaysian police say that they have been conducting a criminal investigation into the plane's disappearance.

Now Chinese families met with government officials in Malaysia today. And meanwhile, the search zone has shifted east toward the Australian coast. Jim Clancy is standing by in Kuala Lumpur, he joins me now. And Jim, what is the latest on the investigation?

JIM CLANCY, CNN INTERNATIONAL CORRESPONDENT: Well, the police inspector general who is in charge of this criminal probe has said they are being as thorough as they can possibly be. They cannot release the results of their investigation, but he says they have made significant strides.

Still, he admits that they may never be able to unravel the mystery of what happened inside the cockpit. And that is because the evidence that they're gathering is on the ground, it is outside of the incident itself. In order to do that, they would need to locate the plane.

And here's why this week it became such an issue among industry analysts, industry activists when they talked about how technology is meeting with this news story and how the future has to change. Listen.

(BEGIN VIDEOTAPE)

CLANCY: We can't find it. We're not even sure we're looking in the right place, because flight 370's transponder was purposely shut down by someone in the cockpit, or failed, search teams have been left to scour millions of square nautical miles.

Tech savvy travelers wonder why. The director of the powerful International Air Transport Association acknowledges the industry must act.

TONY TYLER, DIRECTOR, INTERNATIONAL AIR TRANSPORT ASSOCIATION: We need to be in the position to track aircraft through the whole entire length of their flight, even if they go outside an all-radar coverage and so on.

We need to now look at the best way, most effective way, of tracking aircraft wherever they may happen to be.

CLANCY: The agony of the families of those missing only adds urgency to act.

JAY MONROE, CEO, GLOBALSTAR: You can continuously track one second at a time for continuously across any trip and know exactly where an airplane is. That is invaluable. And in the case of 370, it would have told us whether the plane turned, whether the plane continued straight and when it stopped emitting altogether.

CLANCY: As flight 370's disappearance became a global talking point, so did weaknesses in security. Millions of travelers allowed to board planes with only minimal checks of their identities, including the two men who boarded flight 370 with stolen passports.

TYLER: Let me be very clear, the airline's role is to fly aircraft and to carry people, it's government's role to make sure that people aren't traveling on fake or stolen or other invalid passports.

Boarder control is a government activity.

CLANCY: Interpol says it takes just seconds to reveal if a passport is among the 40 million known lost or stolen in its database. IATA wants a single, harmonized system so airlines can quickly submit data to governments for screening.

(END VIDEOTAPE)

CLANCY: Will flight 370 be a turning point in these areas of security before you get on the plane and security during your flight tracking? It's really up to the airline passengers. They have to push this. And the industry recognizes that. But they warn that passengers will also have to pay -- and I'm told it could cost hundreds of thousands of dollars per aircraft to equip them with the latest technology -- Kristie.

LU STOUT: Now Malaysia Airlines today is addressing the issue of cockpit security. What did they announce?

CLANCY: That's right. Some things aren't going to cost anything. And new rules have gone into place. The staff of Malaysia Airlines has been informed, we are told, of a whole set of recommendations.

Let me tell you about one that specifically relates to this flight and suspicions. And that is that no pilot can be alone in the cockpit. Now that's been the case in U.S. airlines and other airlines for some time. The object of reasoning was that if a pilot were to have a heart attack in there along they couldn't access that hardened cabin. They couldn't break down that door. They need someone else inside there to open it up. Obviously it puts another set of eyeballs into what is going on inside the cockpit as well.

It's relevant in these circumstances. Malaysia Airlines not waiting for anyone to tell them to do this, they're implementing these safety changes themselves right down the line, Kristie.

LU STOUT: All right. Jim Clancy, joining me live from Kuala Lumpur, thank you so much for that.

Now investigators, they are getting a better picture of why an Asiana Airlines flight crash landed at San Francisco International Airport back in July. Three people were killed in that accident. And now the airline acknowledges pilot error played a role.

Dan Simon has more.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: Oh my god. Oh, it's an accident.

DAN SIMON, CNN CORRESPONDENT: From the very beginning it seemed clear that Asiana flight 214 from Seoul, Korea was flying too low and too slow on approach to San Francisco.

BEN LEVY, ASIANA SURVIVOR: And there was no wind, no fog. I'm a regular at the San Francisco Airport. And (inaudible) condition to land. So, yeah, it was so shocking that we could miss the runway by so much.

SIMON: The Boeing 777 clipped a seawall just short of the runway and then spun violently, breaking into pieces. There was chaos on the ground. Passengers ran from the plane as emergency crews arrived. They dosed the plane with foam.

These pictures show you the devastating aftermath inside the cabin. Rows of seats were also dislodged. Three passengers died, one of whom was run over by a fire truck involved in the rescue, scores of others injured.

Now, nearly nine months later, the airline admits in a regulatory filing that its pilots failed to monitor and maintain a safe approach. Given the pilot's experience and training, there are no obvious explanations for why they did not recognize the deteriorating air speed and abandon the approach sooner, the airline says. yet Asiana says Boeing, and its 777, the same model of plane that is now missing, is also partly to blame.

It says the plane's navigation instruments, airplane software, led the crew to believe the jet was maintaining enough speed to land safely.

In its own documents to the NTSB, Boeing says not so, placing the blame squarely on the pilots.

The equipment, it says, had been functioning normally.

UNIDENTIFIED MALE: There's almost 1,200 or so 777s flying around. And that hasn't been a problem with most of the -- with any of the other carries that I'm aware of.

SIMON: According to Mark Weiss, a former pilot, the airline has a weak argument. Maintaining a safe air speed is a basic skill required of all captains.

MARK WEISS, FORMER PILOT: The bottom line is, it's the pilot's responsibility to maintain safe control over that aircraft at all times. And that may go back to a fundamental problem about skillsets or training.

SIMON: Even so, the Federal Aviation Administration urged Boeing in 2010 to update its software that would cause the auto-throttle to essentially wake up in the event of a dramatic speed loss.

But the airline says Boeing hasn't done so. The back and forth will likely lead to a legal battle over financial damages, a process that could take years.

What happened with the SFO crash and the Malaysian airliner could not be any more different. In San Francisco, the cause is clear. With 370, of course, there's still no answer.

Dan Simon, CNN, San Francisco.

(END VIDEOTAPE)

LU STOUT: German airline Lufthansa has grounded nearly 4,000 flights after pilots walked off the job. Now the three day strike is one of the biggest walkouts in the company's history. And it follows failed negotiations over pilot compensation. The airlines says the cancellations will disrupt travel for some 450,000 passengers and cost the company tens of millions of dollars.

Mary Barra, the CEO of U.S. automaker General motors is set to face a second day of tough questioning on Capitol Hill today.

Now on Tuesday, she apologized for 13 deaths that GM says were linked to a faulty ignition switch. Lawmakers want to know why it took GM 10 years to recall affected vehicles. Dana Bash reports.

(BEGIN VIDEOTAPE)

DANA BASH, CNN INTERNATIONAL CORRESPONDENT: Lining the back wall of the hearing room, pictures of 13 people believed to have died because of a defect in a GM ignition switch, a problem that disabled air bags. Their family members got a public apology from GM's new CEO Mary Barra.

MARY BARRA, GM CEO: The families and friends who lost their lives or were injured, I am deeply sorry.

BASH: But those looking for answers didn't get many.

UNIDENTIFIED MALE: You don't know they didn't just replace the switch on the old cars as well as the new cars?

BARRA: I do not know the answer that. And that's why we're doing this investigation.

BASH: In fact, Barra pointed to an internal GM investigation.

BARRA: I can't answer specific questions.

BASH: As she deflected many of the lawmakers' questions in some two hours of testimony.

BARRA: We've hired Anton Da Lucas (ph) to do a complete investigation of this process.

We are doing an investigation that spans over a decade.

And that's part of the investigation.

BASH: Frustration was palpable.

UNIDENTIFIED MALE: What you just answered is gobbledygook.

BASH: GM only issued a recall this year, but knew about this problem since 2001.

UNIDENTIFIED FEMALE: They were warned again and again over the next decade, but they did nothing.

BASH: And documents show GM investigations as far back as 2005 concluded the switch was bad, but quote, tooling cost and piece price are too high.

UNIDENTIFIED FEMALE: Documents provided by GM show that this unacceptable cost increase was only .57 cents.

BASH: Asked about GM concern about cost over safety, Barra said this.

BARRA: If that is true, that is a very disturbing fact. That is not the way we make decisions.

BASH: An open question is whether GM's financial woes that led to bankruptcy and a government bailout colored decisions about safety.

BARRA: I would say in general we've moved from a cost culture after the bankruptcy to a customer culture.

BASH: Another key question is whether NHTSA, the government agency in charge of car safety is also culpable for not properly investigating GM's problems. The acting administrator admits there were red flags, but also blames GM for withholding some information.

UNIDENTIFIED MALE: Our ability to find defects also requires automakers to act in good faith and to provide information on time.

BASH: GM announced they've hired Ken Feinberg, the man in charge of victim compensation after 9/11 and the BP oil spill. It's a noteworthy move, since GM's bankruptcy claim may legally shield them from having to pay any compensation, though the CEO has not said exactly what its plans are.

Now she's going to come back to Capitol Hill for round two of questioning, this time before the senate, where the Democratic chairwoman is already saying this might not just be GM incompetence, but rather a coverup.

Dana Bash, CNN, Capitol Hill.

(END VIDEOTAPE)

LU STOUT: A last minute surge has helped the White House meet its signup target for Obamacare. Now President Barack Obama says 7.1 million Americans signed up for insurance coverage under the healthcare law by Monday's open enrollment deadline.

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: This law is helping millions of Americans. And in the coming years, it will help millions more. I've said before, I will always work with anyone who is willing to make this law work even better. But the debate over repealing this law is over. The Affordable Care Act is here to stay.

(END VIDEO CLIP)

LU STOUT: Mr. Obama now turns his attention to another White House priority: raising the federal minimum wage.

Now, World Cup fever is soon to hit the host country Brazil. And ahead, we take a look at one industry hoping to do more business. And why child rights groups are raising the alarm.

(COMMERCAIL BREAK)

LU STOUT: Welcome back.

Now Brazil is gearing up to host the World Cup and a huge influx of fans and tourists that come with it. Most industries are anticipating a boost, even those that operate largely out of the public eye like prostitution.

But now, before giving you that report, I'm going to take you straight from this meeting under way in Brussels. The NATO secretary-general Anders Fogh Rasussen is speaking now. Let's listen in.

(NATO MEETING ON RUSSIA COVERAGE)

LU STOUT: And you've been listening to NATO secretary-general Andres Fogh Rasmussen speaking in Brussels. We are anticipating for him to address Russia and the crisis in Ukraine. Just then, he addressed upcoming presidential elections, elections coming this weekend in Afghanistan, telling the people of Afghanistan to go to the polls, exercise your democratic rights.

We'll continue to monitor that press conference for you. You're watching News Stream. We'll be back right after the break.

(COMMERCIAL BREAK)

LU STOUT: Welcome back.

Now on Tuesday's show, we brought you some of the best April Fools jokes on the internet, but it turns out that even one of our sister networks got in on the act. Jeanne Moos shows us some of the best pranks from April Fools Day.

(BEGIN VIDEOTAPE)

JEANNE MOOS, CNN CORRESPONDENT: Which one of the following stories is fake? A British morning show reported that a new breed of chicken lays square eggs, or the online grocery Fresh Direct offers eagle caught salmon? They're both false. Everything you're about to hear is April foolishness.

It's sort of like the Super Bowl of April Fool's Day jokes with companies competing to come up with the most talked about prank.

Take the new fragrance...

UNIDENTIFIED MALE: Cheeteau.

MOOS: Introduced by the makers of Cheetos.

UNIDENTIFIED FEMALE: It smells like food.

UNIDENTIFIED MALE: Like a bread pudding or something like that?

UNIDENTIFIED FEMALE: Don't like it.

UNIDENTIFIED MALE: Dangerously cheesy.

MOOS: Actually, one of the cheesiest jokes involved crust, not cheese.

The edible box by Dominos UK. They call it the edibox for short.

When it rains jokes, it pours.

UNIDENTIFIED FEMALE: Brand Drops, the world's first branded aromatic rain.

MOOS: Customized scents injected into water molecules?

UNIDENTIFIED FEMALE: If you're a fast food company? Well, we can make the rain smell like french fries.

MOOS: Come in out of the downpour and pour yourself a Samuel Adams HeliYum beer.

UNIDENTIFIED MALE: Infusing beer with helium, it's slightly dry.

MOOS: Helium was big this April Fool's.

The King's College Choir in England announced that high vocal parts will now be performed by altos breathing helium.

Politicians got into the spirit. Ted Cruz showed off his Winston Churchill tattoo.

SEN. TED CRUZ, (R) TEXAS: My wife was fairly astonished.

MOOS: And Bill Clinton unveiled his new Twitter background photo, a parody of a famous shot of Hillary that went viral.

"I'm following my leader," he said.

Well, that explains what happened to my iPad, said she.

The morning shows got silly with staff members being ambushed by a bush. And co-hosts tricked into eating Oreos filled with toothpaste.

But when HLN's Robin Meade said good-bye on her show Morning Express...

ROBIN MEADE, MORNING EXPRESS HOST: And I've enjoyed waking up with you so, so much.

MOOS: Viewers got a real wake up call.

NANCY GRACE: Yeah, ding dong, the witch is gone. I'm in. Robin Meade, bye bye.

MOOS: Nancy Grace danced and tortured the weather man for more than 10 minutes until.

GRACE: So, you're back?

MEADE: Well, we just played a little joke on our viewers.

MOOS: You call being graced by Nancy a little joke? Jeanne Moos, CNN...

UNIDENTIFIED FEMALE: Brand drops.

UNIDENTIFIED MALE: Cheeteau.

UNIDENTIFIED MALE: HeliYum Ale.

MOOS: New York.

(END VIDEOTAPE)

LU STOUT: Nancy Grace is magic. That was amazing.

OK, now let's get your world weather forecast, no jokes here, with Mari Ramos. She joins me from the world weather center -- Mari.

MARI RAMOS: Oh, that was excellent.

Anyway, let's start with you guys there in Hong Kong finally getting a little bit of a break from the rain, Kristie. I understand it looks absolutely beautiful outside. And yes it does.

I still see a little bit of cloud cover there on top -- but compared to the kind of weather you've had over the last few days. This is really quite a change.

Now, don't put away the umbrella just yet, because we are still expecting a few scattered rain showers over the next few days.

You know, you had more rain over the weekend then you had the entire year so far and more than you would get normally in January, February, and March combined. So that's pretty impressive.

It does look pretty, though.

Come back over to the weather map over here. And we still have a little bit of cloud cover here in areas to the south. The atmosphere a little unstable this time of year, so it doesn't take much to really begin to see some thunderstorms pop up. And that's what we're seeing, most of them now moving just to the east and north of Hong Kong. We're getting some across Taiwan. Shanghai, you'll get some scattered rain showers as well.

Overall, our weather pattern looks like this, the showers return as we head to the latter part of the week. Relatively quiet in Beijing and through the Korean Peninsula and even back over toward Japan.

So not doing too bad there.

I want to show you this, because I thought this was pretty interesting, Kristie. This is not something you see every day, at least I don't. And we have three weather systems in a row -- one down here pretty far south. And it looks very well organized. This is a medium chance of developing. This one right over here is at about 1 degree south, isn't that interesting, only about 1 degree south. And this one -- I should say 10 degrees south. And this one about 1 degree north. So we have very close weather systems very close together, one in the northern hemisphere, one in the southern hemisphere, all of them having a potential -- a medium chance for developing into a tropical cyclone. Even if they don't, they're going to bring some rain across some of this region.

So, I thought that was pretty interesting, because like I said not something we see all the time.

Now going back to our top story, which is the earthquake that happened in Chile last night, that 8.2 magnitude quake again all the tsunami watches and warnings have been canceled. Places like New Zealand still have that potential to see some odd currents, maybe some strong currents. And that's going to be something to watch through the overnight hours tonight.

But I do want to talk a little bit about the weather in this area. It is relatively dry. We've seen those pictures of people just kind of bundled up, because at night it does get fairly cold across northern Chile.

Skies are expected to remain clear. Right now we're looking at 18 degrees -- daytime hours, of course, now. Wind out of the south at 19 kilometers per hour, so no problems for travel in this area. However, we have heard from the airlines in Chile, in the major airline at LAN, L-A-N, they have canceled all of the flights into northern Chile as a precaution. The airports are open, but as a precaution they have canceled the flights going into areas to the north, so this is something, Kristie, of course, that will continue to be our top story through the rest of the day.

Back to you.

LU STOUT: All right, Mari Ramos there with the complete forecast. Thank you.

Now on Tuesday, we told you about a drone it was discovered on a South Korean island. It crashed earlier as the two Korea's exchanged live fire. Now South Korea previously found another drone in Paju, which lies just south of the demilitarized zone.

Now, we're getting a look at the drones. And the are suspected of coming from North Korea. Now the South's ministry of national defense calls them elementary level, but says that they're fitted with high res cameras. And the semi-official Yonhap News Agency says one took pictures of the presidential compound in Seoul, raising serious questions about security.

And that is News Stream. And you'll notice that we never went back to that report from Shasta Darlington on child prostitution in Brazil, but you can watch that in about 15 minutes from now on World Business Today.

END