Return to Transcripts main page

Early Start with John Berman and Zoraida Sambolin

Fact Checking the State of the Union; Police Operation in Belgium; Will Japan Pay $200 Million Ransom?; AirAsia Flight 8501 Crash Investigation

Aired January 21, 2015 - 05:30   ET

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


(COMMERCIAL BREAK)

CHRISTINE ROMANS, CNN ANCHOR: Happening now, response pouring in to President Obama's State of the Union address, presenting a bold, new agenda, but will the president's promises get stopped by gridlock?

We're breaking down the big moments from his speech and how Republicans are responding this morning. Welcome back to EARLY START. I'm Christine Romans.

JOHN BERMAN, CNN ANCHOR: Great to see you today. I'm John Berman. It's 30 minutes past the hour. President Obama sure seemed to strike a confident tone last night. He seemed to be undaunted by his vast midterm losses, as he gave his first State of the Union address to an entirely Republican-controlled Congress.

The president put forward the agenda, really of an economic populist aimed at insuring the middle class enjoys what he calls the fruits of economic recovery. Senior White House correspondent, Jim Acosta, with details.

JIM ACOSTA, CNN SENIOR WHITE HOUSE CORRESPONDENT: John and Christine, this was not a speech from a president who sees himself as a lame duck. In his State of the Union address, President Obama came out and declared the nation's economy as on the rise.

But he also offered up his prescription for lifting up the middle class, raising taxes and fees on the wealthy and big banks in exchange for new tax breaks for middle-income earners. Now, as part of the president's middle class economics theme, the president also talked about his plan for free community college, but he also covered other subjects.

He asked lawmakers to give him a vote to authorize force on ISIS. He called on Congress to lift the embargo on Cuba, slammed the Keystone pipeline, vowed to veto Iran sanctions legislation, but he also called on the country for a better kind of politics in this turning point in his policy, away from 9/11 and toward the future. Here's what the president had to say.

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: Fifteen years into this new century, we have picked ourselves up, dusted ourselves off and begun again the work of remaking America. We have laid a new foundation. A brighter future is ours to write. Let's begin this new chapter together and let's start the work right now.

(END VIDEO CLIP)

ACOSTA: The president will take his message to Idaho later today and then Kansas on Thursday. Those are both red states. But a Democratic source tells me the president will be visiting more red states in the coming months.

He wants to engage Americans who don't agree with him to sell his agenda. And also coming soon, the president's budget, which includes that tax plan, one Republicans have already deemed dead on arrival -- John and Christine.

ROMANS: Thanks, Jim Acosta, for that. Of course, Republicans took a dimmer view of the economy and their rebuttal following the president's speech.

Freshman Iowa Senator Joni Ernst spoke of stagnant wages and lost jobs and the hurt caused by canceled health care plans. And she seized on the mandate for change that Republicans believe they won in the November elections.

(BEGIN VIDEO CLIP)

SENATOR JONI ERNST (R), IOWA: Americans have been hurting, but when we demanded solutions, too often, Washington responded with t same stale mind-set that led to failed policies like Obamacare. It's a mind-set that gave us political talking points, not serious solutions.

That's why the new Republican majority you elected started by reforming Congress to make it function again. And now, we're working hard to pass the kind of serious, job-creation ideas you deserve.

(END VIDEO CLIP)

BERMAN: So, what was the public reaction to the president's speech? A CNN instant poll found generally favorable numbers, 51 percent of Americans who watched the speech had a very positive reaction. That is up from last year and significantly better than the response George W. Bush received at the same point in his presidency.

Political figures mulling White House bids for 2016, they also weighed in. Hillary Clinton praised the speech in a tweet, saying it "pointed the way to an economy that works for all." She added, "Now we need to step up and deliver for the middle class."

I wonder if that will be part of her campaign. On Facebook, Republican Jeb Bush praised the Republican rebuttal and advised the president to be mindful of the strong message that American voters sent in November and work with the new Republican congressional majority.

ROMANS: Let's fact-check the president's statements about the economy. He boasted about the strength of the recovery.

(BEGIN VIDEO CLIP)

OBAMA: At this moment, with the growing economy, shrinking deficits, bustling industry, booming energy production, we have risen from recession freer to write our own future than any other nation on earth.

(END VIDEO CLIP)

ROMANS: The first part of that statement is mostly true. Job growth was the strongest last year since 1999. Unemployment keeps ticking down, a six-year low. But hiring has not pushed wages up, and many Americans feel like they're just getting by. How about his claims on oil?

(BEGIN VIDEO CLIP)

OBAMA: America is number one in oil and gas.

(END VIDEO CLIP)

ROMANS: It's true. The U.S. passed Saudi Arabia a few years ago in terms of oil production and is also the top producer of natural gas now. And finally on paid sick leave --

(BEGIN VIDEO CLIP)

OBAMA: Today, we are the only advanced country on earth that doesn't guarantee paid sick leave or paid maternity leave to our workers.

(END VIDEO CLIP)

ROMANS: And that is true. Of all industrialized nations, the U.S. doesn't do it. Remember, a few states have passed bills to offer paid family leave, but on a federal level, it's just not there.

BERMAN: All right, social media obviously buzzing about this speech itself. A lot of people went on Facebook and Twitter to talk specifically about one moment during the address. Watch this.

(BEGIN VIDEO CLIP)

OBAMA: I have no more campaigns to run. My only agenda -- know because I won both of them.

(END VIDEO CLIP)

BERMAN: Yes, you can hear the Democrats cheering. You could hear the Republicans moan and I think that's exactly what it was designed to do.

ROMANS: Yes. Republicans did stand up to cheer the president at a few points, notably when he invoked America's fight against global terror.

(BEGIN VIDEO CLIP)

OBAMA: We stand united with people around the world who have been targeted by terrorists, from a school in Pakistan to the streets of Paris. We will continue to hunt down terrorists and dismantle their networks, and we reserve the right to act unilaterally, as we have done relentlessly since I took office, to take out terrorists who pose a direct threat to us and our allies.

(END VIDEO CLIP)

ROMANS: President Obama gave much the same message of support to the French president, Francois Hollande in a phone conversation earlier in the day. Later today, the French Prime Minister, Manuel Valles, is set to outline new antiterrorism measures in Paris.

All of this as investigators in Paris pore over new surveillance video obtained exclusively by CNN. This video appears to show the Paris gunman, Amedy Coulibaly and his partner, Hayat Boumediene, as they case a Jewish institution in Paris.

I want to turn now to senior international correspondent, Nic Robertson, is live in Paris with the latest on this part of the investigation. Good morning, Nic.

It's really chilling to see them dressed as if they're trying to blend into the street scene, but seemingly casing the place.

NIC ROBERTSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: Indeed. I mean, look at Boumediene. She's almost wearing hot pants there. That's not the kind of thing anyone would expect a radical Islamist, which is where her thoughts were, to be dressed so, clearly trying to evade security outside that Jewish institution.

This was filmed last August. So, this material's been out there and available to French intelligence for quite some time. Now, we're also hearing from the prime minister about what he plans to do about terrorism and radicalization of the country.

He said radicalization continues to grow, and he gave another very startling statistic, 3,000 Islamist radicals, he said in the country right now need monitoring, need watching by the intelligence services, a huge number for any intelligence organization.

He says that he plans to spend $300 million over the next three years. That money will go to the interior ministry to spend on counterterrorism measures. He says right now, 120,000 police deployed across France at this time of heightened concern about more terror threats.

We've been learning about Coulibaly's associates who are being held by authorities right now. The four men involved in purchasing a car that was used in an attack, purchasing weapons as well, not directly involved in planning the attack.

This is what we are understanding. But interestingly, the four men all have Christian names, Willy, Frederick, Tony and Michael, none of them Muslim-sounding names. And what we're getting from the prosecutor here is that these men were criminals.

So, an intersection, a nexus now being discovered by the French between the criminal underworld and the terrorist networks here, a major and growing concern for all here -- Christine.

ROMANS: A major and growing concern, 120,000 police on the streets. Unbelievable. OK, Nic Robertson, thanks for that.

All right, happening now in Belgium, the country's public prosecutor is getting set to address a police operation Tuesday that happened very close to the border with France.

So far, officials have only said that 82 people were evacuated from 33 apartments and the operation went calmly. No comment yet on whether this was a terror-related operation, as suspected.

Officials are searching right now for Abdelhamid Abaaoud, he is the suspected ringleader of an ISIS-linked Belgian terrorist cell. CNN has obtained a tape of Abaaoud defending their tactics. Listen to this.

(VIDEO CLIP)

BERMAN: Abaaoud also calls on Muslims to find honor through jihad and martyrdom.

ROMANS: All right, now to Yemen, where Shiite-Houthi rebels appear to have successfully staged a coup. They have overtaken the presidential palace in Sana'a. Yemen's minister of information telling our Nick Paton Walsh the president is no longer in control in Yemen.

There are concerns that a government collapse could send the country into full-scale civil war, a turn of events that could be exploited by radical groups like al Qaeda.

There are also growing concerns about U.S. interests there. A U.S. embassy, a vehicle for the U.S. embassy was shot near an embassy checkpoint Monday night. Two Navy war ships have now moved into the Red Sea, they are ready to evacuate Americans from the embassy if need be.

BERMAN: Breaking overnight, a Palestinian man has been arrested after nine people were stabbed on a bus in Tel Aviv. Israeli police are calling this a terror attack. The attackers eventually chased down, shot by police and arrested.

This is the latest in a string of attacks against Israelis in recent months. Several of them have been deadly. The Islamic militant group Hamas, which controls Gaza, praised the stabbings as, quote, "brave and heroic."

Japan vows to save hostages taken by ISIS, but will that country pay the $200 million ransom demanded by the terrorists? We're live in Tokyo with the very latest.

(COMMERCIAL BREAK) BERMAN: Happening now, the Japanese government using every diplomatic channel available to make contact with ISIS, trying to convince the extremist group not to execute two Japanese hostages. ISIS is demanding a $200 million ransom to spare these men's lives.

It is not clear this morning whether Japan is willing to pay all or some of that sum. Will Ripley live on the ground in Tokyo tracking the latest developments. Good morning, Will.

WILL RIPLEY, CNN CORRESPONDENT: John, good morning to you or good evening from Tokyo, where the prime minister has just landed within the past couple of hours and gave a very brief statement where he reiterated that the government of Japan won't be backing down to these terrorists.

But again, stopping short of saying what steps might be taken, not confirming or denying speculation that Japan may be willing to negotiate some sort of a deal, perhaps some sort of a payment to ISIS, but it obviously is a very complicated and difficult question.

Because weighing heavily on many here is the reality that putting any money in the hands of a terror group like ISIS will only give them the ability to put more lives in danger. We're also speaking with friends who knew both of these men.

Kenji Goto, a seasoned freelance journalist, no stranger to war zones. He had covered not only Syria but the crisis in Iraq. He had been to Somalia and many other areas of conflict. One man who has known him for more than ten years had this to say to his friend.

(BEGIN VIDEO CLIP)

HIROMASA NAKAI, FRIEND OF HOSTAGE: I'm with you and everybody with you, so don't give up. I know you are not giving up. I could tell from your face from that video.

(END VIDEO CLIP)

RIPLEY: That video so difficult to watch for so many people here in Japan, John, because they say that Kenji Goto was one of those people who was always walking around with a smile on his face, but he was also very passionate about his work, passionate especially about telling the stories of children in these areas of conflict.

To see his face on the video, no smile and the reality that he's in very grave danger is quite difficult for a lot of people here -- John.

BERMAN: Difficult, barbaric act to see. Our hearts go out to those families. Will Ripley, thanks so much.

ROMANS: All right, 46 minutes past the hour, new information this morning on what may have caused AirAsia Flight 8501 to crash, next.

(COMMERCIAL BREAK)

BERMAN: President Obama seemed to make clear before and during his State of the Union address that he will veto the Keystone oil pipeline bill that is working its way through Congress.

The president instead calls for a wide-ranging program to reinforce the United States' infrastructure. Republicans in their response were equally clear that they don't plan to let the issue drop, even framing the pipeline as a jobs bill.

(BEGIN VIDEO CLIP)

ERNST: One you've probably heard about is the keystone jobs bill. President Obama has been delaying this bipartisan infrastructure project for years, even though many members of his party, unions, and a strong majority of Americans support it.

OBAMA: Let's set our sights higher than a single oil pipeline. Let's pass a bipartisan infrastructure plan that could create more than 30 times as many jobs per year and make this country stronger for decades to come! Let's do it!

(END VIDEO CLIP)

BERMAN: Senate now led by Republicans will resume consideration of the pipeline when it meets this morning.

ROMANS: All right, Fox News could face legal action over its coverage suggesting parts of Paris are off limits to non-Muslims. The Paris mayor, Anne Hidalgo, says the network insulted her city and insists so-called Muslim no-go zones do not exist. The mayor tells CNN she plans to sue for prejudiced to the honor and image of Paris. Fox has repeatedly apologized.

BERMAN: Louisiana Governor Bobby Jindal is doubling down on his contention that some western countries have allowed Muslims to establish autonomous no-go zone neighborhoods in cities where Islamic traditions trump regular laws.

Why is Jindal doing this? Some people think it is because he is running for president and wants to establish some conservative credentials in a crowded field.

All right, the deflate-gate controversy exploding overnight. ESPN reporting that 11 of the 12 balls used by the New England Patriots in Sunday's AFC championship game were underinflated by 2 pounds per square inch. That is a lot.

Why does this matter? If you use a ball with less air in bad conditions, it is easier to hold on to, it's easier to grip, perhaps easier to throw for Tom Brady. It would have given the Patriots an advantage, an advantage that is against the rules in that game.

Another word for that, if the Patriots did it intentionally, is cheating. It would have meant they cheated in this game. They went on to win 45-7. No comment yet from the NFL. According to ESPN, the league has yet to determine what, if any, penalties the Patriots could face.

ROMANS: So, here's my question for Tom Brady. When he felt that first snap and held the ball in his hands, did he know that it felt 15 different than the typical ball?

BERMAN: That's the question. The Colts player intercepted the ball. He felt it have too little air, which is why the refs investigated it to begin with. How did Tom Brady not feel it? How did the refs who handled the ball not feel it? These are questions, and they all bode poorly for the Patriots, reflect poorly --

ROMANS: And your fandom, you're having an existential crisis, John Berman having a crisis about his years as a Patriots fan. Let's turn to our forecast.

Here's what's happening nationally. Temperatures on the mild side for a substantial area of the country, across the southern tier, at least. Little Rock to Dallas 60s, New Orleans to Atlanta 60s, Nashville mid- 50s, not too bad.

Of course, we're still stuck into the 30s, much than the cold weather of seven to ten days ago, but that temperature is cold enough to support snow showers and about 1 to 3 inches of it in the forecast from Philly out towards Baltimore and eventually down to D.C. mainly into the afternoon hours.

The storm system comes in just like that by 11:00 p.m., midnight, it really turns off. So, that's what we expect with minimal accumulations. It will be cold enough for that to stick around perhaps on into Thursday morning. But notice areas around Detroit, Cleveland also getting in on the action, while Pittsburgh could tap into a couple inches.

Here's your forecast temperature across D.C. all morning hovering right around freezing. Again, snow beginning into the afternoon hours, could really begin a mix through by 4:00 or 5:00 in the afternoon before they get partly cloudy skies into the evening hours around D.C., guys. That's the latest here in weather.

BERMAN: New information to tell you about in the AirAsia crash investigation. Indonesia's transportation minister confirms that Flight 8501 climbed at speeds more suitable for a fighter jet before plunging into the Java Sea.

Remember, it's the commercial jet climbing faster than a fighter jet, 6,000 feet per minute. That is four times the average climbing speed for this type of commercial airliner. Aviation experts say that this kind of ascent could have triggered a stall.

ROMANS: A new video released by Boko Haram promises a widening campaign of violence and bloodshed. On this tape, the leader of the terror group threatens Nigeria's neighbors, Niger, Chad and Cameroon. He also takes responsibility for wiping out the northern Nigerian town of Baga.

Thousands were reportedly killed in that rampage. Boko Haram's leader claiming his fighters were doing what, quote, "Our Lord instructed us in his book." It's 34 minutes past the hour.

Oil prices plunging, good news for drivers, bad news for some American workers. The dark side of falling oil prices. An EARLY START on your money, next.

(COMMERCIAL BREAK)

ROMANS: Let's get an EARLY START on your money. U.S. stock futures a bit lower right now after President Obama's previous state of the union address. Stocks have typically fallen by 0.5 percent the next day. Interesting.

One stock I'm watching this morning, Netflix. The streaming giant added 4.3 million new subscribers last quarter. The company has big plans for expansion. In the next two years, Netflix wants to be in 200 countries. They're in 50 right now.

The stock is up 15 percent before the bell. Oil prices are still falling. Crude oil is 4 a barrel right now. It's been cut in half, as you can see, since last summer. That means more job cuts. Texas- based oil company Baker Hughes is the latest, announcing plans to slash 7,000 positions and cut capital spending by 20 percent.

Cheap energy is great for consumers, but it is devastating for these energy companies and we've seen one after another, job cuts and cuts to their exploration and development. So, watch this space, the down side of falling crude.

BERMAN: A lot to talk about today. The aftermath of the president's State of the Union, big economic news, and breaking news from the war on terror. "NEW DAY" starts right now.