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Al Qaeda Issues New Threat; "Charlie Hebdo" Puts Mohammed on New Cover; Keystone Clears Senate Hurdle, Veto Awaits; CentCom Twitter Feed Back Up after Hack; The O.J. Simpson Trial 20 Years Later

Aired January 13, 2015 - 10:30   ET

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

CAROL COSTELLO, CNN ANCHOR: That could be good because the economy has gotten better over time, right?

CRISTINA ALESCI, CNN BUSINESS CORRESPONDENT: You would hope. You would hope. But a lot of this reaction is going to be top line driven. What's important to pay attention to is what the sophisticated investors are doing -- right? And over the weekend there were some reports that a lot of the sophisticated investors out there like the big hedge funds are actually reducing their positions in U.S. thinking that this volatility could eventually just move lower. We're going to have volatility but the trend may be volatility to the lower side. So you're seeing some of that come through in the market.

COSTELLO: Cristina Alesci, thanks so much. I appreciate it.

ALESCI: Of course.

COSTELLO: Still to come in the NEWSROOM, three million copies of "Charlie Hebdo" are set for distribution. How can you get your hands on one? We'll tell you next.

(COMMERCIAL BREAK)

COSTELLO: We have new details this morning on the terror concerns at U.S. airports. A government official telling CNN that the ramped up searches of passengers and luggage is because of an article in an al Qaeda magazine. It describes how to make bombs out of household products and how to make them hard to detect.

In France, investigators uncover a common link between two of three slain terrorists. A man once known as al Qaeda's top recruiter in Europe also served as a mentor to the terrorists who attacked the grocery store and one of the brothers who attacked the magazine.

Also across France, security ramps up even more as al Qaeda loyalists issue a new threat. Terrorists based in North Africa worn of worse violence -- Jim?

JIM SCIUTTO, CNN CHIEF NATIONAL SECURITY CORRESPONDENT: That's right, Carol. This week's surge in national security here nothing short of staggering -- some 10,000 soldiers fanning out across France along with some 8,000 police officers. And this is happening as brand new issues of "Charlie Hebdo" will go on sale tomorrow. These are new pictures of the magazine arriving at an undisclosed location in Paris this morning. We're not disclosing that because of security concerns. Three million copies of the special edition will be printed -- that's 50 times more than the usual 60,000 copies.

And in a show of defiance, the new cover features a cartoon once again of the Prophet Mohammed holding up a sign that says the familiar "Je suis Charlie", "I am Charlie". It also reads in French, "All is forgiven". Just in the last hour the surviving staff at "Charlie Hebdo" held a news conference to talk about this new edition. There were tears but there was also defiance.

(BEGIN VIDEO CLIP)

GERARD BRIARD, EDITOR-IN-CHIEF, "CHARLIE HEBDO" (through translator): The cover page, my colleague will talk about it later, was complicated to find because it had to say something about us and it had to say something about the event with which we were confronted.

(END VIDEO CLIP)

SCIUTTO: They also made note that they are going to print this not only in English, translate it not only into English and other languages but Arabic.

I'm joined now by CNN senior media correspondent and host of "RELIABLE SOURCES", Brian Stelter. Brian -- in your experience, have you ever seen a situation like this where a magazine that has something like 60,000 in a special moment by a factor of 50 increases their circulation. I have to say -- I'm guessing that these copies are going to -- they're going to go.

BRIAN STELTER, CNN SENIOR MEDIA CORRESPONDENT: I think so to. I can't think of an analogy to this. It was 60,000 on a good day. That's how many they would print. They oftentimes didn't sell all those copies. This was a magazine that was struggling to stay afloat a few weeks ago and was asking the public to do so and not getting much help actually.

You know, this wasn't a magazine that had millions of fans. It did have fans. It did have an audience. It did have supporters. But it wasn't beloved by all of France the way that it now sort of feels like.

You know, I've been really struck in the last few hours walking around this city in different parts of the city, you see that sign "I am Charlie" all over the place and not just right here but all over the place.

SCIUTTO: Yes. We had cops from New York coming here as well to show their support. You know it's interesting. There are a lot of steps that people are taking to show their defiance and this national unity. One certainly was showing up on Sunday in that march. One for many people is coming here to the memorial, changing their Twitter picture to "Je suis Charlie". You name it.

But clearly another step is going to be getting a copy of that magazine.

STELTER: Yes, buying that magazine, supporting it financially, actually handing over the money for it. And by the way, some people that strongly disagree with the politics of the magazine will be wanting to buy it now, you know. When we hear the phrase "I am Charlie", some people have disagreed with that slogan that has become so popular saying, "No, we are not Charlie" but we still stand for the right of the magazine to have free expression.

SCIUTTO: Here's a question though because this magazine has a long history of offending, an equal opportunity offender we can say --

STELTER: Oh yes. Yes.

SCIUTTO: -- you know,, whether it's the Prophet Mohammed, the Catholic faith, political figures, et cetera, and even for French of crossing a line -- right. That line is further afield than it might be in the states in terms of what qualifies as offensive. But there are a lot of people who aren't fans of the magazine. How long does that last? How long does this sort of support in a sense that this is a national institution last?

STELTER: That's what we didn't hear about at the press conference last hour. We didn't hear about plans for future issues and that's something I'm very curious about. They have done something extraordinary by getting this issue out tomorrow with surviving staff members, with former ex-cartoonists coming back to help the magazine, with some of its rivals coming to help.

What does happen next week or next month? That's what I'm wondering. I'm hoping we're going to get the answers here tomorrow as the magazine comes out. By the way, we don't know what's in the rest of the magazine. We'll see it tomorrow. I've a feeling they're going to have a lot of other shots at others. I'm sure it will be, as you said, an equal opportunity offender.

SCIUTTO: No question it is.

Carol -- just a reminder, remember all of those staff members, they're doing this on short staff because so many of the members of the staff passed away -- coming together now but with a tremendous amount of support.

COSTELLO: It's amazing. Thanks to both of you. I appreciate it.

Still to come in the NEWSROOM, the controversial Keystone Pipeline clears a major hurdle in the Senate but the White House says a veto awaits. I'll talk to one senator who says the pipeline is critical for job growth.

(COMMERCIAL BREAK)

COSTELLO: Stocks are surging on Wall Street as oil extends its selloff. Crude oil prices tumbling to near six-year-lows in earlier trading; that's down from 60 percent from peak highs back in June. Increased production and weaker than expected demand continue to pressure the sector.

And as oil prices plunge, the battle over the Keystone Pipeline is heating up in Washington. The bill clearing a major hurdle in the senate where 63 senators voted to advance the bill and allow debate on the legislation to begin next week which would authorize construction of the pipeline if it passes.

Of course, the bill still faces an obstacle in the White House. President Obama has threatened to veto the legislation if it does pass.

Joining me now to talk about this Republican Senator Dan Coats of Indiana -- welcome sir.

SEN. DAN COATS (R), INDIANA: Thank you.

COSTELLO: Senator, you say the pipeline will create tens of thousands of jobs during its construction. But some workers are already losing their jobs due to falling oil prices and there are fears that more layoffs could occur. Do we really need the Keystone Pipeline?

COATS: I think we do because you have to look at the big picture. The big picture is that we're able to create more energy independence for ourselves, from our neighbors from Canada, from our own states of Montana and North Dakota -- less dependence on Middle East oil. We know all of the conflict going on in the Middle East.

Look at the bigger picture. The more independence we can create, the better position we will be in as Americans. Plus it's a great boost for consumers in terms of having low gas prices when wages are not going up. They have more spending and that is helpful for the economy.

COSTELLO: Totally get that. But by some estimates the U.S. is already on track to be the world's largest oil and gas producer. So isn't it clear we're already not dependent on oil from the Middle East?

COATS: No, we're not dependent. We are dependent to a certain extent but there's nothing wrong with having more independence. And if you take the long-term view --

COSTELLO: Like complete 100 percent independence is that what you're talking about? Because it's about 75 percent we depend on ourselves for oil and gas.

COATS: Given the uncertainty and the conflicts that are taking place in the Middle East, given the situation that exists down in Venezuela, which is one of our suppliers, with a very uncertain leadership and a country there in terms of reliance on that. It is in our best interest to strengthen our position. It's that good for the consumer. It's very helpful at a time of sort of stagnant growth. It's good for temporary jobs -- construction well into the 40,000s here. And Democrats I think got the message along with Republicans and the rest of the world in November saying we want you to work together on constructive efforts. This is one supported now on a bipartisan basis. I think the President is going to have to keep that in consideration before he just likes to veto on this.

COSTELLO: Right. Well, Senator, I heard you say temporary jobs. So once the pipeline is up and running there will be permanent jobs and there will be people working in the oil fields and like I said, in North Dakota, for example, there are massive layoffs there in the oil industry because gas prices are so low and because oil prices have gone so low. Is this more about politics than anything else?

(CROSSTALK)

COATS: No, if we base the future on the basis of what's happening here temporarily and the volatility of gas, we've seen it pop up to $4 and more. We've seen it drop. It will go back. It will settle out. Right now we're in a down period and that's a benefit for America.

But let's take the long range view on this and look, every construction job is temporary. But this is going to be several years long project that's going to put 40,000 some people to work at good wages. Is that not a helpful effort here in terms of getting our economy moving again? I just think we've come together in a bipartisan way here in the Congress of saying this is good for America and we've seen both Republicans and Democrats now willing to work together.

COSTELLO: But if the President already says he's going to veto this legislation if it passes, isn't it just a waste of time?

COATS: Well, presidents usually say that on a number of occasions. They want perhaps to negotiate something better. We'll see what this president does. I think he's going to have to take into consideration that ten of his members in the United States senate and look at what happened in November of 2014 when they attached their future to the President. Just about every one of them lost. I think they have got the message on this.

This is helpful. It's for America. For our economy. The President is going to have to take that into consideration before he just actually signs that veto.

COSTELLO: All right. Senator Dan Coats, thanks as always. I appreciate you being with me.

COATS: Thank you. All right.

COSTELLO: I'll be right back.

(COMMERCIAL BREAK)

COSTELLO: The White House is taking new steps to crackdown on cyber security and cyber criminals by announcing new proposals at better responding to a cyber attack. The plans include an improved sharing of cyber security information between the government and private companies about threats and attacks. It also aims to modernize law enforcement to combat cyber crimes and create a single national database for reporting security breaches. The White House is also hosting a cyber security summit next month at Stanford University. We'll keep you posted.

It's actually a good thing that cyber security is top on the president's list because as you know by now, ISIS sympathizers invaded CentCom's Twitter feed. Early Monday afternoon this appeared on the U.S. Central Command's feed. It says "I love you ISIS".

The hackers also claim they stole classified documents. That turns out to be untrue. Now keep in mind, CentCom is the central command center for the Middle East. By 7:00 p.m. last night, CentCom regained control of its Twitter feed by saying tweeting, "We're back" -- back after an act of cyber vandalism. Experts say it wasn't all that serious but it sure was embarrassing.

With me now to talk about this: Peter Singer, a senior fellow for the New American Foundation and Jeffrey Carr, a cyber security expert. Good morning to both of you.

PETER SINGER, NEW AMERICAN FOUNDATION: Good morning.

JEFFREY CARR, CYBER SECURITY EXPERT: Good morning.

COSTELLO: Good morning. So, Peter, how serious was this?

SINGER: It wasn't serious in terms of the actual hack itself. They didn't get into any classified military networks. They didn't touch any important information that affected the actual operations.

The information that they posted wasn't really anything important including one was a picture of a goat. So it didn't affect at the end of the day the military operation but it was embarrassing and that has significance in sort of the information war fight that we have going against ISIS. It hits this narrative of the big guy, the U.S. military that spent over $1.2 billion already fighting ISIS being embarrassed by the little guy.

That's really the importance of it is on the propaganda side and not actual content or cyber war side of things.

COSTELLO: Do you agree, Jeff?

CARR: Yes. It's not -- it's a nuisance, you know. I think the takeaway here is actually that if you have a military command or other government agency on Twitter, they need to at the very least secure their accounts. Apparently this account was relatively insecure.

So if you're going to risk going on social media, at the very least you need to implement the best security that you can to avoid these kinds of embarrassments.

COSTELLO: Peter, "The Daily Beast" pointed out that it's not clear that ISIS was actually the culprit because ISIS doesn't really call itself ISIS and also this hacker group follows a folk group called Andrew Jackson Jihad and you mention there was a picture of a goat also on the Twitter feed. So who are these -- are they just a group of teenagers creating mischief? Who are these people?

SINGER: We'll figure it out eventually. One of the other indicators is ISIS is not a group that tends to use the word verb "love" all that much and saying "I love you ISIS". Also the fact that they had control of this megaphone, so to speak, for 40 minutes and really didn't have a great plan of how to use it -- so those seem to be the indicators. But the important thing here is it's a lot like the attacks that played out in Paris and also previously in Sydney on the real world side of things. It's unclear whether ISIS was behind the planning, the organization, of these attacks. But it's still getting credit for them and that's very important to the group because it's not only locked in a propaganda war with the U.S., but it's also in a competition with the other militant groups out there like the al Qaedas of the world. And so this is just another moment for ISIS to claim that it's the most popular, that it's the most 21st century in its operations by having this social media presence, by having these fans.

But I definitely want to echo what Jeffrey put out there. This is an embarrassing moment not only because of what was put up there but the story is probably going to be embarrassing when we find out the relatively simple way that they got into this feed. The very basic things that could have been done to prevent it that all the rest of us should be following.

And, you know, my joke on it is there is probably a junior officer awaiting assignment to the arctic right now because they failed to follow some basic security procedure.

COSTELLO: All right. I have to leave it there. Peter Singer, Jeff Carr -- thanks so much. I'll be right back.

(COMMERCIAL BREAK)

COSTELLO: Might be hard to believe but the O.J. Simpson murder trial got under way 20 years ago this month. A new special report airing here tonight revisits the so-called trial of the century like only CNN can, examining new juror revelations and visiting the case's key players like witness, Kato Kaelin. I'm sure you remember him.

CNN's Kyra Phillips has more on the infamous trial you thought you knew but actually didn't.

(BEGIN VIDEOTAPE)

KATO KAELIN, WITNESS: I heard a thumping noise.

UNIDENTIFIED FEMALE: How many thumps did you hear?

KAELIN: Three.

KYRA PHILLIPS, CNN CORRESPONDENT: Simpson's shaggy house guest -- Kato Kaelin. Did you ever expect what was going to happen when you got up there and took the stand?

KAELIN: No. Not at all. It was my first time in a courtroom in my entire life. I think I was 35 at the time.

PHILLIPS: Kaelin's four days on the stand thrust him into the national spotlight.

KAELIN: I even come up with a saying never has a man done so little to be recognized by so many.

JAY LENO, COMEDIAN: Today he testified, he said that O.J.'s maid never really liked him. Sure, she had to work for her room and board.

PHILLIPS: Why was Kato Kaelin so memorable?

UNIDENTIFIED MALE: He's an idiot.

PHILLIPS: Really.

UNIDENTIFIED MALE: He's so full of (EXPLETIVE DELETED) -- I'm sorry.

PHILLIPS: That's pretty harsh.

UNIDENTIFIED MALE: In fact when we were doing our deliberations, he was like the no-brainer. The guy is an idiot. Nothing he says can go with or against it. He was null and void.

KAELIN: I was called so many things. I was called a celebrity. I was called a pariah. I was called a traitor. I was called a dummy. I was called a free loader.

PHILLIPS: Seems like you feel like you were misunderstood for a really long time.

KAELIN: 100 percent misunderstood. This was something I took so serious I was making sure that I answered everything correctly. So I was in deep thought going ok, get this right Kato and that was it. If you pause, people go he's making some -- he's lying. He's doing this. Furthest thing from the truth is for me to become more honest, for me to make sure I answer this thing 100 percent honest.

(END VIDEO CLIP)

COSTELLO: Wow.

PHILLIPS: Misunderstood -- key word. He said for years and years and years, not only did it really hurt him but his entire family. They called him all these names, made fun of him. He really got grilled out of all the characters in this drama that we watched unfold -- right.

So serious note, fun note, once again Kato Kaelin has decided to embrace his inner slacker. Take all this criticism and he has created Kato couch potato lounge wear. Embrace Carol -- your inner slacker. You can't make this stuff up. And there's a pocket there for your TV remote.

COSTELLO: Come on. Really -- that's for real? He wants to be taken seriously by the nation at this moment?

PHILLIPS: You know, does he want to be taken seriously? I think he just wants to be who he is. And he says he's a fun loving, he's funny guy. He's happy with his life now. And he's decided to start his own business.

COSTELLO: Ok. Quickly now another tease -- if it doesn't fit, you must acquit.

PHILLIPS: We remember those famous words. Johnnie Cochran there with the gloves, the big phrase -- right. 20 years later I had no idea those were not his words. The unknown member of the defense team, Jerry Ullmann (ph), he was the dean of the law school at Sta. Clara -- he created that, wrote that and said Johnnie this is your phrase. He's finally getting his due 20 years later.

COSTELLO: Well, I can't wait to see it.

Thank you Kyra.

PHILLIPS: You bet.

COSTELLO: Thank you for joining me today. I'm Carol Costello.

"@THIS HOUR WITH BERMAN AND MICHAELA" starts now.