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Sweat Reveals Escape Details to Investigators; Greece on the Brink: Country's Current Bailout Ends Today; Warning of Possible July 4th Terror Attack; NBC Dumps Trump Over Immigration Remarks. Aired 10:30-11a ET

Aired June 30, 2015 - 10:30   ET

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

[10:29:55] PAMELA BROWN, CNN ANCHOR: Good morning to you. I'm Pamela Brown in for Carol Costello. Thank you so much for being here with us.

And this morning convicted killer David Sweat is upgraded from critical condition and investigators say he's revealing crucial details of the prison escape, the intricate planning and the scramble to improvise. Prison employee Joyce Mitchell was Plan A but when she didn't show up with the getaway car Sweat and Richard Matt abandoned their plans to flee to Mexico. With no Plan B, they headed toward Canada on foot instead.

And Sweat is sure to face questions about a possible heroin ring operating inside the prison. Investigators believe there may have been a criminal network, inmates partnering with corrupt prison workers.

CNN's Deborah Feyerick has been covering the story extensively. Deb, tell me why should investigators believe anything David Sweat says? I mean he is a hardened criminal.

DEBORAH FEYERICK, CNN CORRESPONDENT: Well, the first reason is if you're trying to find out what goes on inside a prison, the people you have to talk to are in fact the criminals because the criminals know everything, and one correction officer I spoke to said there really are no secrets in prison. That's why everyone is so amazed that they were able to pull this off.

But right now David Sweat has absolutely nothing to lose and everything to gain by providing even small amounts of information. Look, you speak to inmates, you speak to former inmates, and they will tell you that drugs are a big problem at Clinton Correctional Facility, but at facilities all across this nation drugs are part of the prison culture.

Bargaining, bartering, all that is part of the prison culture, and so if he can provide them even small pieces of information that they can then investigate and check and corroborate, then there could potentially be some reform and potentially David Sweat, who is going to be in isolation and lockup for the rest of his life, he can get small things. Maybe something as little as an extra piece of meat a week but that's significant because he's going to have everything taken away from him. So those small things will make a big difference.

BROWN: I think that's key to hit on because a lot of people are asking what does he have to gain? He's going to be behind bars for the rest of his life, in solitary confinement for some of that time. But you're right, they do have some bargaining chips they're likely pulling out.

FEYERICK: There's no question about that. That's why, look, for David Sweat if he can sort of expose what was going on in this prison, he could be key. He could also, for example, provide information if anybody else was involved, any other prison inmates because one thing David Sweat is not going to walk back into that prison or any other prison for that matter as a hero because what he has done, sure, he may be looked as some sort of, you know, Butch Cassidy and the Sundance Kid figure, but at the same time the measures that were -- the honor block, for example, has been shut down.

Privileges have been taken away. Investigators are now swarming prisons. So while that escape may be historical and somewhat epic, in the long run those prisoners, their quality of life has dramatically changed, and they're going to be extremely resentful. So if it was love/hate before, it's going to be much more intensified perhaps on both sides.

BROWN: Right. And of course, the question now is where is he going to go, back to Clinton or somewhere else? I imagine not back to Clinton.

FEYERICK: Probably not. But the Bureau of Prisons continues to have custody over him. Clearly he's in -- he's being held by investigators and under direct and constant supervision. So they'll figure out where to put him after they have run it to the ground in terms of the kind of information he knows.

BROWN: Absolutely. And that process still ongoing. Deb Feyerick, great work on the story.

FEYERICK: Thank you.

BROWN: Thank you so much.

And still to come right here in the NEWSROOM, the fate of Greece's economy hangs in the balance. And if Greece gets kicked out of the Eurozone, the pain will be felt far from Athens. We're going to look at how bad it could get for the U.S. right after this break.

(COMMERCIAL BREAK)

[10:37:55] BROWN: U.S. markets are rebounding today after the Dow took its biggest beating of 2015 on Monday closing 350 points down. But all eyes are still on Greece. The country now just hours away from default. Tens of thousands took to the streets as we see right here in Athens last night in support of their government's decision to stop bailout negotiations.

Greece's current bailout ends today, but the terms to extend it include highly criticized pension cuts and tax increases. Without a bailout though, Greece can't make its $7.7 billion loan repayment.

So joining me now to discuss all of this, CNN business correspondent Richard Quest in Athens and CNN money chief business correspondent Christine Romans. Richard, I'm going to start with you. We're just hearing about the possibility of a deal in the offing. What can you tell us about that?

RICHARD QUEST, CNN BUSINESS CORRESPONDENT: Well, this is happening while we're talking, Pamela. And what we understand is that Greece -- look, the existing bailout is done, dusted, and over. That expires tonight. Greece has requested a new bailout of an organization known as the ESM, the European Stability Mechanism.

Doesn't matter about the name, all we need to know is Greece has today requested a new bailout of its European partners and the Europeans are to hold a teleconference in just about a couple hours from now. And that teleconference will discuss how this should be handled, should they give Greece more time, and all those sorts of issues. So the news at the hour, Greece has, we believe, requested a new bailout.

BROWN: That is certainly some news there.

Christine Romans, if you would, could you just break this down for us? Why is this so important? Greece, as we know, has a tiny economy but it could have big implications. There's a lot at stake -- right.

CHRISTINE ROMANS, CNN MONEY CHIEF BUSINESS CORRESPONDENT: You're absolutely right. Ok -- a tiny economy, yes. $200 billion is its economy. Look at that. It's a little bit smaller than Oregon, a little bit bigger than Alabama.

[10:40:02] But look what happened yesterday, that tiny economy took the Dow Jones Industrial average down 350 points -- the biggest loss in a couple years and losing all of the gains for the year.

Here is why. Greece is a small economy with a lot of debt, and there are other economies in Europe that have a lot of debt as well. All of these together are the weak links of the European Union. If Greece goes out and you're talking about countries leaving the European Union that is a problem. Why? Because a solid EU is very important for the United States. Anybody who works for a company here in this country that makes something that's sold to Greece -- or sold to the EU, $276 billion in exports to the EU. The United States has 2014. So that's a problem.

This is a very important trading partner, a very important trading partner -- and so it needs to be stable. That's why it's so important.

There's also this worry about contagion. We don't like when one small link of the whole global chain falls apart. That can cause a lot of instability and uncertainty. We've seen contagion take down markets around the world before. But look what's happening right now in stocks. You heard Richard

talk about this hope that there's a new kind of deal potentially on the table. Markets are rebounding a little bit. They don't have that continuation of the big selling we saw yesterday and that's important.

BROWN: All right. I'm going to go back to Greece quickly because a lot is going on there, including, Richard, this Sunday there's going to be a referendum that's set. How do you think that's going to go?

QUEST: Well, first of all, if this deal is going ahead, does the referendum take place? You've got to bear in mind, Pamela, they are literally making this up as they go along. The referendum was called at the last minute by the Prime Minister Alexis Tsipras. Now there is the potential for new bailout discussions.

Does this deal put an end to the referendum? I wish I could give you an answer. I haven't got one. One of the core questions that we have to establish in the next two or three hours is whether the referendum on Sunday takes place.

BROWN: Very tenuous situation. Seems like a lot is up in the air right now. I know Christine Romans, Richard Quest you're going to be following this very important story for us. Thank you so much.

And still to come right here in the NEWSROOM, U.S. Officials warning the public to be vigilant over the July 4th holiday weekend. We'll tell you why up next.

(COMMERCIAL BREAK)

[10:46:36] BROWN: We're following a new terror warning for Americans this Fourth of July holiday. Extremists have been seemingly willing to wage attacks anywhere and any way. We saw that on Friday when three deadly attacks hit France, Kuwait, and a beach resort in Tunisia. And although no specific or credible threat has been identified for the U.S., the Department of Homeland Security, the FBI, and the national counterterrorism center all say extremists could launch attacks on or around Independence Day.

CNN justice reporter Evan Perez joins me live on the phone from Washington with the very latest. So, Evan, what can you tell us about this threat?

EVAN PEREZ, CNN JUSTICE REPORTER (via telephone): Well, Pamela, the threat really is as high as U.S. Authorities say they've seen it in a long, long time, and there's a couple reasons for this. The July 4th holiday for some reason has been a focus of a lot of ISIS recruits according to the FBI. They've been picking up intelligence in the last few months that indicates that there's an interest in carrying out some kind of attack perhaps during July 4th holiday.

There's also a lot more of these recruits that the FBI is keeping an eye on in recent months. And finally, ISIS has been calling for attacks against Westerners and in the west during the month of Ramadan. So that is all combining to create certainly an increased concern that something could happen this week.

BROWN: And we've seen, Evan, that the threat evolve with ISIS in the way that it uses social media and how quickly it can impact someone. All of a sudden they get this idea in their head and then quickly become operational. How much do you think the fact that what we don't know is playing into this threat and the concern among counterterrorism officials?

PEREZ: That's exactly right. I think you and I both spend a lot of time talking to people on this very issue. And you know, the issues that they've came across as they saw in the terrorist attack in Garland, Texas for instance at the cartoon contest -- Prophet Muhammad cartoon contest. They found that it's very difficult for them to determine when one of these guys decides they want to go from just talking about this stuff on social media or thinking about it and then going operational.

And so that's the issue. They have multiple of these people under surveillance. Some of them under 24-hour surveillance, and the issue is they don't know the ones that they're perhaps not keeping enough close eye on, whether those are the ones that are going to activate. So that's why they're asking law enforcement around the country to help keep an eye out for these types of lone wolf attacks that could take place anywhere really.

BROWN: Absolutely. Evan Perez, thank you very much for coming on and sharing your perspective on this.

Next hour of CNN we'll be talking with House Homeland Security committee chairman, Congressman Mike McCaul about these warnings that we were just talking about.

You may remember the story of former police officer Drew Peterson -- remember him? He was found guilty in 2012 of murdering his third wife, Kathleen Savio, after his fourth wife Stacy went missing in 2007. Well, he's serving 38 years in an Illinois prison and is about to stand trial once again. This time accused of hiring a hit man to kill the prosecutor who put him in prison.

Tonight a new CNN special report looks at the case and here is a preview.

(BEGIN VIDEO CLIP)

JEAN CASAREZ, CNN CORRESPONDENT: October 28th, 2007, the day Candace Akins' niece, Stacy Peterson, vanished without a trace.

CANDACE AKINS, STACY PETERSON'S AUNTY: I thought that she had been murdered most likely by Drew.

[10:50:08] CASAREZ: Akin was not alone. All eyes were on Stacy's husband, Illinois police officer Drew Peterson, a man whose third wife, Kathleen Savio, had been found dead in the bathtub about three years earlier.

DREW PETERSON, IN PRISON FOR KATHLEEN SAVIO'S DEATH: I walk into everywhere I go and there's this little hum that goes through the establishment -- there's Drew Peterson, there's Drew Peterson, there's Drew Peterson.

CASAREZ: Joe Hosy staked out Peterson's home when news broke of Stacy's appearance.

UNIDENTIFIED MALE: This morning Drew Peterson spoke to reporters through his front door.

UNIDENTIFIED MALE: First few days he was just peeking out his front door but then he was letting people come in to talk to him.

CASAREZ: Hosy was first.

UNIDENTIFIED MALE: It was eerie. I got a view of the living room. I was watching the kids watching the TV and it was kind of strange.

CASAREZ: Strange because they were watching the news coverage about their missing mother.

(END VIDEO CLIP)

BROWN: And let's bring in CNN's Jean Casarez host of tonight's special and she joins us now live. Jean -- I know you have been working on this story for quite some time. Drew Peterson is going to see the inside of a new courtroom this summer. Tell us about that.

CASAREZ: Believe it or not, he's charged with solicitation of murder, soliciting the murder allegedly of the prosecutor that prosecuted his murder case. James Black, a legendary prosecutor in the state of Illinois. We were there a couple of weeks ago and we talked and interviewed so many people.

And still the big mystery here, where is Stacy Peterson because she's never been found. There is no actual evidence that she is dead, and her family wants answers, and the emotions are as raw as they were when she went missing in 2007.

Additionally we spoke with the minister of Stacy and Drew, and he told me a story that when he and Drew were alone together driving in a car, he describes a confession that Drew Peterson actually told him. Drew Peterson was always joking and cocky and arrogant. He seemed to be very serious when he was talking to that minister several years ago in the car. We'll have that for you tonight -- Pamela.

BROWN: And another big story you've been covering Jean, is of course, the manhunt in upstate New York at Dannemora. We're just getting some breaking news and right now about the Clinton Correctional Facility. What can you tell us?

CASAREZ: Well, we are right here. We are here at the Clinton County Correctional Facility, and what a state official being briefed on the matter tells CNN, that the superintendent of the prison right here and the deputy superintendent have both been placed on administrative leave. And this happening, of course, as a law enforcement source tells CNN that the FBI is now investigating to see if there is any drug activity at all within the prison with the inmates.

BROWN: Certainly an ongoing investigation there. Big news. Jean Casarez thank you very much. And we'll be right back after this break.

(COMMERCIAL BREAK)

[10:57:18] BROWN: Just into CNN, a deadline for Iran nuclear negotiations has been extended to July 7th we have just learned coming from the State Department. Iran's foreign minister says that he thinks he can get a final deal. His remarks coming after a meeting. He met with Secretary of State John Kerry for more.

Then an hour again. The deadline was supposed to be today but we're just learning from the State Department that that has been extended now until July 7th.

And in other news that we're covering, Donald Trump is not backing down from some controversial comments that got him fired. CNN's senior media correspondent Brian Stelter has more on this -- Brian.

BRIAN STELTER, CNN SENIOR MEDIA CORRESPONDENT: Hey Pamela, shows will go on. That's the new message this morning about the Miss USA pageant and about NBC's "Celebrity Apprentice" show but the shows will not involve Donald Trump. You know, this entire controversy, it's all evolved in a sort of strange way because it was two whole week ago when Trump announced he was running for president when he initially made those offensive remarks about Mexican immigrants describing them as "rapists" for example and then adding some I assume are good people.

That comment got a little bit of attention on the day it was made and then not much more attention except in some corners of the Hispanic community which were highly, highly offended by it. And then about a week later, Univision, the Spanish language broadcaster decided to take action, decided to protest Trump's remarks by not airing the Miss USA pageant which is scheduled two weeks from today on July 12th.

Now, Univision was the Spanish language broadcaster. That left NBC, the English language broadcaster, in sort of a tough spot. There were calls for NBC to do the same thing. Many Hispanic groups lined up over the weekend to say NBC should dump Trump and then on Monday after NBC's lawyers reviewed all the contracts they had with Trump, that's what they were going to do. They decided they would go ahead and sever those business ties.

But it leaves a big unanswered question, what happens to the Miss USA pageant. Like I said, it's two weeks away. It's supposed to be broadcast from Baton Rouge, Louisiana, and all the contestants are already there. The stage is already being built, preparations are under way. The hosts of the event are saying this morning the show will go

on. They're just not entirely sure how yet. They're not entirely sure where it will be broadcast or when it will be broadcast now that NBC says it will not be involved.

Now, as for "The Apprentice, the other part of it, the realities has been going on for many years. It doesn't do as well in the ratings as it used to do. Donald Trump was a huge face for the show a decade ago. It's gone down in the ratings somewhat but NBC would like to keep the show alive in some way with some other host.

So let the speculation begin about who else might be the host of "The Apprentice" in the future. I don't know -- Mark Cuban, Martha Stewart, Warren Buffett -- you know, Lots of names out there of millionaires and billionaires that might be great hosts but for now all we know is it won't be Donald Trump -- back to you.

[11:00:10] BROWN: All right. Brian Stelter -- thank you so much for that.

"AT THIS HOUR" with Berman and Bolduan starts now.