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Early Start with John Berman and Zoraida Sambolin

Stunning Cosby Sex Admission; Deadline Day At Iran Nuclear Talks; Murder Charge In San Francisco Shooting; Kansas City Rocked By Wild Weather; Investors Hope For Greek Deal. Aired 5:30-6a ET

Aired July 07, 2015 - 05:30   ET

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


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[05:30:19] JOHN BERMAN, CNN ANCHOR: Bill Cosby's stunning drug and sex confession. Court documents unsealed. Explosive new details ahead.

CHRISTINE ROMANS, CNN ANCHOR: Deadline day to reach a nuclear deal with Iran. Negotiations going late into night. Live team coverage from the tense talks. We are in Tehran with what Iranians are saying this morning.

BERMAN: Emergency meeting about Greece's financial crisis. The banks there, they are running out of money, Europe running out of patience. Greece running out of time. This crisis will end soon one way or the other. We are live in Athens. Welcome back to EARLY START, everyone. I'm John Berman.

ROMANS: I'm Christine Romans. It's 30 minutes past the hour. Breaking overnight, this stunning admission by comedian, Bill Cosby, that he obtained a powerful sedative to give young women he wanted to have sex with.

Cosby also admitted in court documents released overnight that he actually gave Quaaludes to at least one woman, but he was stopped by his lawyer from answering when he was asked whether he ever gave the drug to young women, quote, "without their knowledge."

Now Cosby has never been criminally charged. He has strongly denied wrongdoing. It is the closest thing he has come to giving admission of guilt. Women who publicly accuse Cosby of rape say these new documents or these revelations prove what they have been saying all along.

(BEGIN VIDEO CLIP)

PATTI MASLEN, SAYS BILL COSBY RAPED HER: Complete validation across the board from all of us, complete validation. He will definitely be known as the most prolific serial rapist in the United States of America. No doubt.

(END VIDEO CLIP)

ROMANS: So where did the comments come from? Cosby made these admissions under oath in a 2005 lawsuit filed by one of more than two dozen women who have accused him of rape. These documents came out Monday after the "Associated Press" went to court to have them released.

At one point in the back and forth in these court documents, the lawyer for the woman suing Cosby asks him, quote, "When you got the Quaaludes, was it in your mind that you were going to use these Quaaludes for young women that you wanted to have sex with. Cosby answers yes.

Cosby later corrects himself to say he meant woman, singular, not women, plural. The AP, the "Associated Press" reports at least two women admit they willingly took drugs Cosby gave them. CNN's efforts to contact his attorney for comments on the new disclosures have been unsuccessful. Again, this is a deposition from a case in 2005.

BERMAN: We will hear more and more, I think, women who have accused Bill Cosby today. I think we'll hear from a lot more lawyers today.

ROMANS: Attorneys for the women want a full apology from him. That's what they want. They want him to admit publicly and they want an apology for him. All they have right now is this one section of the deposition where he admits to giving drugs to women.

BERMAN: All right, happening now, the deadline is today for Iran and six world powers to reach a nuclear deal. But with new apparent issues arising, an extension is looking more and more likely.

Iran is now asking the United Nations to lift the five-year-old arms embargo as part of the overall sanctions relief. The U.S. and its European partners in the talks have opposed lifting the ban on import or export of conventional arms.

Both sides now say the burden is on other side to make hard decisions. These talks are at a level that we have not seen to date. Our senior international correspondent, Nic Robertson is there. This is really crunch time, Nic.

NIC ROBERTSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: It is, John. You could say the talks are heating up outside. Temperature is in the mid-90s today. We have seen additional air conditioning units wielded into the hotel for the talks. That gives you an idea of the temperature of the talks going inside as well.

But to be serious, we've had one meeting so far today. Secretary of State John Kerry meeting with French, German, British, Chinese and Russian counterparts. The expectation would be that they'll meet again with the Iranians. They met well into late last night.

It is not clear what was said behind the closed door meeting, but the fact that it is happening at the foreign minister level and the fact that we've so many repeat meetings at the senior level is an indication of just how tough the talks are getting on.

Of course, this new issue thrown up, we heard from a senior Iranian official yesterday that they will not agree to the broader nuclear deal unless the U.N. arms embargo is lifted. That will be very -- it appears a significant stumbling block because, of course, the United States and the others will not agree or have not. It's certainly a red line for them at this stage -- John.

BERMAN: No one has walked out. No one is saying talks are over. Everyone seems to be concerned to keep things going on at this very high level. Nic Robertson for us in Vienna, thanks so much.

[05:35:08] ROMANS: All right. That's a view from Vienna, but what are people saying in Iran? We are there. CNN's Frederik Pleitgen has been spending a lot of time there in recent weeks. He has interviewed top Iranian officials and talking to men and women on the streets and getting their views on all of this.

He is in Tehran this morning for us live. Fred, how much do people know about these negotiations and what do they think?

FREDERIK PLEITGEN, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, the majority of them know quite a bit about it. The majority wants the sanctions to go away as fast as possible and you'll probably appreciate, Christine, because I spoke to a business person, the owner of a car parts factory.

One of the newest machines that he had making this car parts was about 30 years old and from the Soviet Union. He said even for that, he can't get any spare parts right now because of the sanctions.

However, if you look at Iran's economy, it is actually quite remarkable to see that they have an auto industry. They have a dot- com sector. They have tech startups, all of these even with these constraints.

So they believe if the sanctions are lifted, they could unleash that economy. That of course is outside of oil and gas, which they have anyway. So certainly the majority of people here want the sanctions to go away. They want agreement.

At the same time, of course, you have a lot of hard liners here in Iran, who feels that Iran should not give an inch especially to the U.S. and that is something that politicians here have been trying to meander around.

You can certainly see that from the statements that are coming out and also a lot of the media coverage here that is spreading rumors about what is being said and tentative deals might be reached.

In the end here, everything is going to come down to Ayatollah Khomeini, the supreme leader and highest religious authority here in this country. He is going to have to sign off on any sort of deal, and he says he is going to wait and see what is coming out of Vienna, but he also says he is quite skeptical of the talks, but does support the negotiating team -- Christine.

ROMANS: All right, Fred Pleitgen, thanks for that. Speaking of oil, prices fell 8 percent yesterday on the idea that if there is a deal, that means Iranian oil has the fourth largest reserves, Iranian oil would be out on the markets.

BERMAN: There is so much going on this morning. Happening now, an emergency summit in Brussels, European leaders are struggling to solve the crisis that has engulfed Greece, and threatens the European Union.

The European Central Bank has turned down an emergency request by Greek banks for cash. Without euros, Greek banks cannot reopen. They will remain shuttered at least through tomorrow. Greeks lining up at ATMs where they can just take out 60 euros per day, that number could go down. Today Greek officials are at the summit. They will present the proposal for a new bailout deal. Will anyone listen?

CNN's Isa Soares live in Athens for us now. Isa, this is really it for Greece.

ISA SOARES, CNN INTERNATIONAL CORRESPONDENT: It really is, John. It is make or break for Greece. They are going to meet Eurozone finance minister. That is the first meeting expected today. At the end of today, it's leader summit.

Once they looked at the Eurozone finance minister, I looked at the proposals that Greece are putting on table. As we have seen before, they will reach some sort of agreement. We don't expect a final agreement today. It could take weeks or months.

At least a tentative sign at least they are reaching some sort of agreement. This is crucial for Greece because like you said banks are running dry. We don't know how much longer the banks can go at 60 euro a day.

Now the ECB has increased liquidity, perhaps they may have to be reduced even further. At the moment, the ECB basically said it is assessing every single situation day by day. I think that is critical here.

But Greeks are going into the meeting, Alexis Tsipras, alongside his new finance minister knowing that this is the last chance for them. They have to give in and make concessions but will they? That will be the key point here -- John.

BERMAN: It remains to be seen what happens when they sit down and start talking. Thank so much, Isa.

ROMANS: All right, markets waiting to see if this is the end of the road or if they can cut a deal to bail out Greece again. European stocks down slightly. U.S. stock futures up just slightly.

You know, the stock market in Athens is closed. The banks are close at least through tomorrow. The country tumbling toward bankruptcy that would mean exiting the Eurozone, not using euros anymore and having to come up with a new currency or go back to the old one, the drachma.

European leaders won't let that happen. That's the hope this morning. Yesterday stocks fell in Europe and the U.S. following Greek citizens voting no on the bailout terms. The Dow is down 47. You know, I would say this is not panic, John.

I would say the 47 point drop shows you that there is no panic. Waiting for the process to play out, nervously waiting.

BERMAN: The Mexican man illegally in the United States now charged with murder. He is in court this morning.

[05:40:03] The victim's family is talking to CNN and an emotional interview is coming up next.

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ROMANS: The man charged of killing a San Francisco woman at a public pier set to be arraigned for murder today. The undocumented immigrant on-camera admission that he killed Kate Steinle claiming it was an accident has touched off a lot of outrage directed both at him and at San Francisco sanctuary city law.

That city ordinance bars handing immigrants even convicted felons like the suspect over to federal officials without a court order. San Francisco sheriff explaining the law saying it is vital public safety.

(BEGIN VIDEO CLIP)

ROSS MIRKARIMI, SHERIFF, SAN FRANCISCO CITY AND COUNTY: When you look at how people or just so fearful to reporting and encountering local law enforcement, how they were really preyed upon. That changed dramatically when we did enact sanctuary city laws.

(END VIDEO CLIP)

ROMANS: The family of the victim wants to stay out of the sanctuary city debate and keep the focus on their loved one.

(BEGIN VIDEO CLIP)

BRAD STEINLE, KATHRYN STEINLE'S BROTHER (via telephone): All I feel now is love and I'm thankful that I had the time that I have with her because she was the most amazing sister. If I was able to Kate right now, she would say, Brad, it's OK, just spread my memory and spread love. I know that would make her smile.

(END VIDEO CLIP)

ROMANS: I feel so bad for that family. Our thoughts are with them. From San Francisco this morning, CNN's Sara Sidner has the latest.

[05:45:08] SARA SIDNER, CNN CORRESPONDENT: John and Christine, Juan Francisco Lopez-Sanchez is now being formally charged with murder by the San Francisco district attorney in the case of Kathryn Steinle. Kathryn Steinle was killed right behind me on Pier 14 when shots rang out from a complete stranger.

She was hit in the upper body and died at the hospital. Her family says they want no part in what has become a political debate in this case. The debate is over undocumented people being here and how they are treated by local, state and federal authorities.

In this particular case, the outrage has grown because it turns out that Lopez-Sanchez had been deported to Mexico five times before this happened. He was expected to be deported again, a sixth time, according to Immigration and Enforcement.

But they did not get the chance to do that because he was then sent to San Francisco jail because of an old warrant after he left federal prison. That warrant was ten years old. It was on a drug charge that San Francisco district attorney decided to drop.

They did not charge him. So the sheriff's department decided he would be able to be let free because the laws of the city because it is a sanctuary city allow for that.

Now ICE which overlooks immigration asked San Francisco to go head and tell them when he was being released, but the department did not do that. The sheriff's department released him saying it does not follow the policy of the city.

This has become a conundrum between the locals and the feds and that is what's caused a lot of the consternation from lay people who say we cannot understand how this happened. Someone convicted several times of crimes and deported several times still manage to be free on the street. Now in this tragic murder, we will have to see if justice is served.

Sara Sidner, CNN, San Francisco, California.

BERMAN: Thanks, Sara for that.

Severe storms threatening millions this morning. Flash floods hit the Midwest overnight. We have dramatic new video ahead.

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[05:50:56] ROMANS: The east coast bracing for some severe storms, folks, part of the same system that pounded the Midwest.

BERMAN: Threatening storm clouds hanging over Kansas City, reports of several twitters touching down in Missouri Monday evening. Unfortunately, no serious injuries were reported. There was flash flooding. Look at this, this tractor-trailer trying to traverse the waters.

The Monday night game between the Kansas City Royals and the Tampa Bay Rays, it was called off, why? They can't get to the field. How are you supposed to walk up stairs when there is rain pouring down like a waterfall? They will play a double header today.

ROMANS: In Wisconsin, officials beginning to survey damage left behind by at least four tornadoes that destruction spanning some 50 miles in northeast Wisconsin. The roofs of homes, barns and businesses ripped away. You know what? No deaths or injuries reported thankfully.

BERMAN: The storm system is now bearing down in the northeast. Let's get the forecast from meteorologist, Pedram Javaheri.

PEDRAM JAVAHERI, AMS METEOROLOGIST: Good morning, guys. Let's take a look at the national map because a pretty impressive lineup of storms across the Midwest and toward the southeast as well. You notice the line of weather has cooled off temperatures significantly back behind it in Sioux Falls down in the 50s.

Ahead of it where the storm has yet to arrive in and around St. Louis into the 80s and of course, we have the cool air in the north, the warm and humid air in the south.

The great lakes area with storms possible later this afternoon and humid across the southern United States and eastern half of the country as well so we will continue to keep the rain coming down into the afternoon hours.

Flooding is a big time concern, in excess of 80 rivers reporting some flooding. The vast majority in Illinois and Missouri working farther to the south as well so this pattern looks to persist for at least a couple of days.

Looking for the cooling trend in Chicago, they have cooled off a little. It warms up by Thursday. New York is 77, below the average of 84 for this time of year. You touched on the ice fall in Washington State. Historic temperatures not helping with the snow melt and ice melt.

The temperatures indicated in the red line. The yellow line is where the normal temperatures are for this time of year. Impressive heat even in the northeast -- guys.

ROMANS: Impressive and oppressive depending on what kind of --

Stocks in China tanking. That's the sound of a bubble popping. Why this matters to you next.

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[05:55:00]

ROMANS: Good morning, everyone. I'm Christine Romans. Let's get an EARLY START on your money this morning. European stocks down a bit waiting to see if E.U. leaders can reach a deal to rescue Greece.

Look at Shanghai, big move there, those stocks down 1.3 percent this morning. At one point, this morning, China shares plunged 5 percent. Chinese stocks have collapsed 25 percent in the past month. The communist government stepped over the weekend with extraordinary measures to lift markets.

The question, will China's bear market turn into a free fall? China's stock market mostly closed to foreign investors. The China stock market problems are certainly getting noticed. China is the second largest trading partner for both the U.S. and Europe.

Iran nearing a historic nuclear deal with the west and that is spooking oil markets. Oil prices plunged almost 8 percent yesterday to below $53 a barrel. That was the biggest plunge in five months. Iran has the fourth biggest oil reserves in the world.

The oil has been blocked thanks to sanctions. A deal could change that adding to the oversupply of oil and sending oil prices even lower.

BERMAN: That's good news for consumers.

ROMANS: Good news for consumers and bad news for job addicts. Your morning coffee fix is more expensive. Starbucks will charge 5 cents to 20 cents more for drinks. I wish you could see the look on John's face. The food and packaged coffee and some drinks such frappuccino is safe.

BERMAN: Your coffee costing more.

ROMANS: My coffee from the break room costs the same.

BERMAN: Bill Cosby's stunning sex and drug admission. "NEW DAY" starts right now.

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE: He forced your hand on him.

UNIDENTIFIED FEMALE: Yes.

UNIDENTIFIED FEMALE: Were you drugged?

ANDERSON COOPER, CNN HOST, "AC360": After so many allegations, Bill Cosby himself has admitted to obtaining drugs.

UNIDENTIFIED FEMALE: Bill Cosby testified back in 2005 that he got Quaaludes with the intent of giving them to young women that he wanted to have sex with.

JOHN KERRY, SECRETARY OF STATE: This negotiation could go either way.

UNIDENTIFIED FEMALE: The tense negotiations with Iran over its nuclear program are in the final stages.

UNIDENTIFIED MALE: I wouldn't set any expectations at this point.

UNIDENTIFIED MALE: Agreement or coercion?

COOPER: Francisco Sanchez charged with murder.

UNIDENTIFIED MALE: This is illegal immigration.

UNIDENTIFIED MALE: Sanchez should not have been in this country.

UNIDENTIFIED FEMALE: Hillary Clinton's first major TV interview since the start of the presidential campaign.

UNIDENTIFIED FEMALE: There is supposed to be this new era of relations with the Clinton campaign and the press.

(END VIDEOTAPE)

CHRIS CUOMO, CNN ANCHOR: Good morning. Welcome to your NEW DAY. It is Tuesday, July 7th, 6:00 in the east. Up first, Bill Cosby says he obtained sedatives with the intent of giving them to women he wanted to sleep with. These revelations are coming to light newly unsealed court documents that date back ten years when Cosby was being sued for sexual assault. That's a suit he eventually settled.

ALISYN CAMEROTA, CNN ANCHOR: So now, Cosby admits that he gave at least one woman Quaaludes, but he stopped short of admitting that he drugged anyone. This is the closest thing to an admission that Cosby has ever made since more than two dozen women came forward accusing him of sexual assault.

Let's begin our coverage with CNN's Sara Ganim. Sara, what do we know this morning?