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Iraqi Military Flies Flag Over Ramadi Government Compound; Japan's Restorative Hot Springs; Lawmakers in China Approve Controversial Anti- Terrorism Legislation. Aired 8:00a-9:00p ET

Aired December 28, 2015 - 8:00   ET

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

[08:00:38] KRISTIE LU STOUT, HOST: I'm Kristie Lu Stout in Hong Kong. And welcome to News Stream.

Now China introduces its first ever anti-terror law, but opponents say it is aimed instead at

controlling people inside its borders.

Celebrations in Ramadi as Iraqi forces claim they've taken the city back from ISIS.

And The Force Awakens races to new box office records making a billion dollars in just 12

days.

Lawmakers in China have unanimously approved the country's first counterterrorism bill. Now, Beijing says the law will address the rising

terror threat at home and boost international security.

But some are pushing back against the legislation and the controversial measure requiring tech firms to assist the Chinese

government, including decryption.

In a few minutes, we'll speak to a western journalist who has been forced to leave the country after taking issue with China's anti-terror

push.

But first, here is a closer look at the legislation. Now there are 95 articles And if here is a closer look at the legislation. There are 95

articles and article 18 details what telecom and Internet service providers should take. Now they are required to, quote, offer police and state

security department assistance of technical interface and decoding to prevent and investigate terrorist activities.

But Beijing insists that the new anti-terror law will not affect the normal operation of companies.

(BEGIN VIDEO CLIP)

LI SHOUWEI, CHINESE GOVERNMENT SPOKESMAN (through translator): According to our assessment, this rule will not affect the normal operation

of the relevant companies, and that does not exist the problems like having back doors installed by taking advantage of this rule to infringe company's

intellectual property rights.

Or like what you just mentioned the damage citizen cyber speech freedom or religious beliefs.

(END VIDEO CLIP)

LU STOUT: Now China's new law requires tech companies to help. But keep in mind here this is not the first time a government has asked for

cooperation. And it wouldn't be the first time that tech companies have firmly said no.

Apple told a U.S. court that they could not crack the encryption code on their own smartphone software, so accessing data stored on a locked

iPhone with the latest operating system was, quote, impossible.

Now, the same goes for Google and the latest version of its mobile operating system.

Now, Apple's CEO Tim Cook recently spoke against a new surveillance proposal from the UK warning the measure weaken the security of personal

data for millions of people.

Now some analysts feel that the law is really aimed at controlling the population inside China, not terrorists. And one critics who has voiced

concern over China's anti-terror stance has been told that she is no longer welcome in China.

Now Ursula Gauthier is a Beijing-based French journalist and she joins us now.

Now Ursula, welcome to the program.

The Chinese government, through the ministry of foreign affairs earlier today, says that you as a journalist, quote, champion acts of

terrorism. How do you respond to that?

URSULA GAUTHIER, JOURNALIST: I think it's so absurd that I don't have to respond to that. It would be a crime to champion terrorist acts, so I'm

just expelled, you know, I'm not indicted. I'm not put in prison. So, it's not -- in fact, it's not what it is, what it seems.

LU STOUT: The Chinese government will not renew your press credentials because of your critical reporting, namely your reporting on

China's policy towards its Uyghur population. And many Chinese internet users support the government's decision. In fact, one online poll of some

200,000 people showed overwhelming support. They want you to leave China.

What is your reaction when you read and you hear something like that?

GAUTHIER: Well, I'm a bit angry, I must say, because all those people who have polled, they just haven't read my piece. And they have no

opportunity to read it, because it cannot be posted on the Chinese internet. so they are voting basically without knowing what I wrote.

LU STOUT: Now, Ursula, your name, your photograph, has been widely circulated in Chinese state media, widely circulated online in China, what

has been the response? Have you received threats or even death threats for your work in China?

GAUTHIER: Well, that happened very quickly after the first editorial from Global Times was posted just two days after my article.

So, the first death threats were done on the Global Times website. And then on the People's Daily website. And they were really very violent.

And then people came to my professional Facebook page, and they filled it with insults, very sexual insults and death threats, yes.

So, I don't think this is a civilized way to do things.

[08:05:56] LU STOUT: You've been targeted by angry online netizens in China, the Chinese government as well has asked you to leave, because of

your critical reporting on its policy towards the Uyghurs, what kind of impact do you think will all this have on journalism? Do you fear that it

will encourage self-censorship among the press and journalists in China when they see when they see what you are going through?

GAUTHIER: Well, I fear that this could happen, but all the colleagues I speak with, it's been more than one month now, they all tell me that they

won't ban. They will continue to do their work alongside, you know, our ethics. And they won't let China impress (sic) them.

I hope it will be so because those questions are very important questions, and they have to be covered by foreign press because Chinese

press cannot cover them.

LU STOUT: And the fate of China's Uyghur minority, you've been asked to leave China because of your reporting on China's Uyghurs, an anti-terror

law was just passed. Do you think the situation for China's Uyghurs will get worse?

GAUTHIER: Certainly for Uyghurs, for Tibetans, but even for Han Chinese. I mean, the little freedoms that we still had since the opening

up that was the case during the previous ten years, it's fading now. So, all the little things that were possible: blogging freely, you know telling

what you thought, your thinking freely, everything will be impossible these

days. It's illegal now.

LU STOUT: Ursula Gauthier, many thanks indeed for joining us here on the program and sharing your story. Ursula Gauthier, a French journalist

who has been effectively kicked out of China because of her critical reporting on China's Uyghur policy. Thank you and take care.

Now turning now to the situation in Iraq where the military says it has retaken the key city of Ramadi.

Now video from Iraqi TV shows troops raising the national flag in what's said to be a key are shown raising the national flag in what's said

to be a key government compound.

Now, the building had been held by ISIS fighters who captured the city back in may.

Iraqi troops had been fighting for days to finally push the terror group out of Ramadi, just some 100 kilometers west of Baghdad.

We'll is more on the story later his hour on News Stream.

Extreme weather is wreaking havoc from North and South America to the UK and Europe. In the U.S., a huge storm system is swirling over 20 states

causing death and destruction. 43 people have been killed, at least eight died in Missouri when their cars became submerged or were swept away by

rising floodwater. And the state is bracing for more heavy rain and flooding as well as snow in the north.

Now meanwhile in parts of New Mexico, a blizzard warning is in effect through Monday evening. The governor has declared a state of emergency in

response to the snowstorm.

And in Dallas, Texas, at least 11 people were killed when three tornadoes ripped through homes there.

Making things worse, the area is now fact freezing temperatures, snow, and strong winds.

Now, CNN's Nick Valencia reports on the severe weather in the U.S.

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE: Whoa! I just got a lightning strike.

NICK VALENCIA, CNN CORRESPONDENT: Overnight in eastern Texas, blinding rain,

lightning, and strong winds in the city of Marshall.

Downed trees and power lines, possibly the work of yet another tornado touching down in the

Lone Star State.

Last night, patrons inside a Chili's restaurant huddling inside a freezer as tornado sirens sound off, a tornado watch still in effect today.

This morning, the monster storm system wrecking havoc across the southern states, making its way eastward.

UNIDENTIFIED MALE: Oh, it's a big tornado. A big, big, strong tornado

VALENCIA: Over the Christmas weekend, Texas bearing the brunt of the storm -- ravaged by

nearly half a dozen deadly tornadoes. An airplane passenger snapping this stunning photo of the massive storm on a flight to Dallas.

Two powerful EF-3 and EF-4 twisters carving a path of destruction in Rowlett (ph) and nearby Garland (ph) Saturday.

The death toll, 11, making this the deadliest December for tornadoes in 60 years.

Justin Shuler (ph) sifts through what was left of his home in Garland. He and his dog survived by taking cover in a bathtub.

UNIDENTIFIED MALE: I stepped out because I heard the roaring, and then that's when I saw it.

VALENCIA: Willard Jordan heard the tornado rip through his neighborhood in Dallas, his family and home spared.

UNIDENTIFIED MALE: Buildings cracking, I mean ripping stuff up. All we could do of run to the closet and pray.

VALENCIA: And this Garland resident rescued by family.

UNIDENTIFIED FEMALE: I just stayed in my closet all night long shaking like a leaf on a tree.

VALENCIA: The deadly storm also spawning flash floods. Whiteout conditions and states

of emergency in New Mexico and Missouri.

In Missouri, more than 100 water rescues. At least six people in Pulaski County swept away by floodwater Saturday night.

UNIDENTIFIED MALE: It's a small, dark highway. They probably did not know what hit them until they hit the water.

VALENCIA: The massive system dumping more than 16 inches of snow in New Mexico.

Icy roads backing up traffic and shutting down Interstate 40 in Albuquerque.

(END VIDEOTAPE)

LU STOUT: And that was Nick Valencia reporting there.

Now, the British Prime Minister David Cameron, meanwhile, is visiting northern England after deploying more troops to help deal with severe

flooding there.

Now, CNN affiliate ITN reports a month's worth of rain fell in just a day in some areas. Now, the government issued dozens of severe flood

warnings on Sunday, only raised when there is a threat to life.

Hundreds of residents have been evacuated from their homes, and more than 800,000 people were without electricity over the weekend.

The extreme weather is also being felt across parts of South America. Heavy rain in Argentina, Brazil, Paraguay, and Uruguay have forced more

than 160,000 people from their homes. Now, CNN's Diego Laje joins me now live from Concordia, Argentina.

And Diego, you are in one of the hadest hit areas. What kind of flooding damage have you seen there?

DIEGO LAJE, CNN CORRESPONDENT: Kristie, it's overwhelming. We were just -- well, going

around with the police here. We took one of their dinghies out. And the water where I am now is relatively okay. This is where the river ends.

The water behind me reaches the roofs of the houses, the first level, the first floor.

We had to, of course, keep to streets because nobody knows what there is underneath. We have to be extremely cautious. Those are picture that

will be on CNN in a few hours.

In the meantime, what is right behind me is the Uruguay River that divides Argentina and

Uruguay. This river is well above safety levels. The river actually reaches -- is 50 centimeters two feet from my feet, from where I'm

standing. We actually can see fish around here there are fish around here -- the camera can't take it, I'm sorry.

And we're probably 500 meters, five blocks away, from downtown Concordia, a town of more than 100,000. The losses here cannot be

calculated, cannot be estimated for the time being. We're just talking to residents. They were saying we lost our livelihood, we lost everything

because they did not only lose their homes, they also lost their businesses.

And one more thing, this part of northeastern Argentina is very dependent on internal and

regional tourism. And the summer starting in this hemisphere means that the tourism season, the travel season, the income season, is gone, is lost,

Kristie, the situation is very, very concerning. Authorities are doing whatever they can. They have mobilized thousands of police officers, army

and security and rescue personnel. But of course a combined figure of more than 160,000 evacuees, more than 10,000 here in this town means that

they're trying to cope with a situation that is really, really overwhelming the systems here.

And one more thing, Kristie, the -- more further rains are expected upstream in the north in the next few hours. So, everybody, of course, is

more concerned about what is to come not only what is happening right now, Kristie.

LU STOUT: Yeah, more rain in the forecast very troubling as this extreme flooding there has a terrible impact on life, on property and on

the local economy.

Diego Laje reporting live from Concordia, hard hit from these floods. You can see the scene behind them what was no doubt a street now submerged.

It looks like a river.

Diego Laje, thank you for your reporting.

Now, you're watching News Stream. Still to come in the program, a historic step to ease decades of tension. Japan and South Korea reach an

agreement finally on the issue of so-called comfort women.

Also ahead, the Iraqi military claims a major victory in the fight against ISIS. What we know about the battle on the ground later this hour.

Stay with us.

(COMMERCIAL BREAK)

[08:18:00] LU STOUT: Welcome back.

Now Japan and South Korea have agreed to a landmark deal over a decades' old issue. The Japanese government is apologizing to the women

who were used by Japan's military as sex slaves during World War II. Now, they're referred to as comfort women. And Japan is pledging money to

help them and their families.

South Korea says the issue will be irreversible resolved if Japan lives up to its promise.

Our Alexandra Field joins us now live from Seoul. And Alexandra, this has been called a major

historic and diplomatic breakthrough. Just walk us through the terms of this agreement.

ALEXANDRA FIELD, CNN CORRESPONDENT: Right, you can't really describe it as less than that when you use language like "irreversibly resolved."

Those are really strong words for any officials to use, especially on an issue like this which has been divisive,

so contentious for so long.

But here's what the leaders have come to. They've essentially agreed to this saying that both parties will be able to move on, move forward,

restore and correct some of their relationships with this agreement which basically takes about eight million U.S. dollars from

the Japanese government, puts it to a foundation which will be administered by the South Korean government, and that foundation will provide support

and aid to these so-called comfort women, the 46 surviving women who are among some 200,000 women who were used as sex slaves in the years leading

up to and throughout World War II.

The announcement of this agreement was made by the foreign ministers of both Japan and South Korea during a press conference right here in

Seoul. It came after 12 rounds of negotiations.

And along with establishing this foundation to support the comfort women, it also came with an apology, what's being called another apology

from Prime Minister Shinzo Abe in which he expresses apology and remorse for the suffering that's been felt by comfort women. And it also goes on

to accept some responsibility from the Japanese government with regard to the military's involvement with comfort women. That was sort of the

language that was laid out there.

And now the South Korean government is saying that if Japan does in fact make good on the terms, does give that money for this fund, then they

will be able to move on and make this sort of the irreversible decision that it's been called, Kristie.

[08:20:17] LU STOUT: CNN's Alexandra Field reporting live from Seoul for us. Thank you.

Now, you're watching News Stream. And still to come on the program, Star Wars moves far, far away from the competition. The film breaks a huge

milestone less than two weeks since its release.

(COMMERCIAL BREAK)

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

Now, the new Star Wars film is racing past box office records at a speed even the Millennium

Falcon would be proud of.

The Force Awakens has made a billion dollars worldwide, that is faster than any film ever and doing it in just 12 days, breaking Jurassic World's

record by one day.

But it's in the U.S. where Star Wars is performing especially well. It is already the fifth biggest movie of all time in the United States

after just 10 days.

Now, let's put this in perspective by comparing the film's first 10 days to two other box office titans.

Avatar is the highest grossing film of all time. It made over $200 million after ten days. At the same point, Jurassic World had made almost

$375 million. But The Force Awakens is on a different scale entirely. It's made a staggering $544 million in the U.S. alone.

Now, the film won't open in China until January 9. And Disney is trying to build up excitement by holding a premiere in Shanghai.

Matt Rivers has more on that.

(BEGIN VIDEOTAPE)

MATT RIVERS, CNN CORRESPONDENT: Well, Star Wars is already a global phenomenon, making in over $1 billion U.S. in just 12 days with its ticket

sales. And here in China, the stars of this latest installment walked the red carpet in Shanghai at the Chinese premiere of the film on Sunday night local time.

But if the rest of the world has gone absolutely Star Wars crazy, China really hasn't yet. The film doesn't have the same kind of cultural

significance here in China that it does in other parts of the world. When these -- when the series first premiered back in the late'70s and early

'80s, China was just emerging from its cultural revolution where all western influences, culturally and otherwise, were very, very much

discouraged and even banned here in China. There were very few movie theaters even open. And the films were never released. So, no one really

grew up on the films here.

Now the prequels of the late '90s did make it into Chinese movie theaters, but they barely made a dent at the box office.

So, how this film will do when it opens up to the Chinese and to mass audiences here on January 9 sort of remains to be seen.

Disney is very well aware of the fact that they're kind of starting from scratch here in China and so they've spent the last couple of months

really trying to build up interest in the brand. It was back in October that 500 stormtrooper figurines were placed by the company on the Great

Wall of China at an event. And they've even hired a very popular performing artist here in China sometimes called the

Chinese Justin Bieber. He's got a huge following on social media. He's been hired by Disney to promote the film.

And there have been signs that this film is at least generate something buzz here. According to Reuters, the film has been mentioned

around 700,000 times on the Chinese social media site Weibo. And so people at least it appears are starting to talk about this film. But whether it

generates and turns into ticket sales remains to be seen.

But Disney very much aware of the fact that if they are going to break all-time box office records with this new film, they're going to need

China. This is the second largest movie market in the world trailing only the United States.

Matt Rivers, CNN, Beijing.

(END VIDEOTAPE)

LU STOUT: You're watching News Stream. And still to come, a key city is apparently back in the hands of Iraqi troops. We'll have the latest for

you from Ramadi right after the break.

(BEGIN VIDEOTAPE)

(HEADLINES)

[08:31:56] LU STOUT: The Iraqi military now says the entire city of Ramadi has been

freed of ISIS.

Now, video from Iraqi TV shows troops raising the national flag at a key government building. Iraqi troops fought for days to finally push the

terror group out of the city just 100 kilometers west of Baghdad.

And for the latest on the situation in Ramadi, Becky Anderson joins us now live from Abu Dhabi. And Becky, Iraqi forces, they're saying that

Ramadi has been liberated. Has it?

BECKY ANDERSON, CNN INTERNATIONAL CORRESPONDENT: Difficult to say, Kristie. Liberation is certainly how the Iraqi military described the

result of what has been this much-touted offensive against ISIS militants over the past week in the city of Ramadi.

This is the moment the Iraqis made the announcement on national TV.

BRIGADIER GENERAL YAHYA RASGUL, IRAQI AMY (through translator): Yes! Ramadi has been freed, and the armed forces and the anti-terrorist group

and also we've raised our government flag on all the government buildings in al Anbar.

ANDERSON: Well, certainly we've seen video of the flag being raised. CNN, though, cannot

independently confirm exactly what's going on the ground. A carefully worded statement from the spokesman for coalition forces following that

statement congratulating Iraqi forces in what he called their continued success against ISIS in Ramadi and offering continued support for the

government of Iraq as it moves to make Ramadi safe for civilians to return.

But Kristie reports suggest that it is very likely that ISIS militants have moved from what was this strategic government compound in the center

of the city to the north. And there is every chance that they can regroup.

Reports in the past 24 hours that ISIS fighters used civilians as human shields as they retreated from the complex.

Now the number of militants impossible to pin down, though Iraqi and coalition sources

say dozens were killed in the center of the city -- Kristie.

LU STOUT: Now, Iraqi forces, they are declaring Ramadi liberated. A message of congratulations has been sent. But, Becky, what is the overall

significance of what we're seeing today?

ANDERSON: Well, the Iraqi army are going to claim this as its single- biggest victory over ISIS since the terror group swept through in 2014, about 18 months ago.

When Ramadi was captured back in May of this year, in 2015, you'll remember U.S. Defense Secretary Ash Carter sort of famously

questioning the Iraq army's will to fight, much to the chagrin of the Iraqi government at the time who took that criticism as a real slight.

The fear, then, that Ramadi would serve as a base for the group's move to the east and to the capital, and then it would become another stronghold

for the group.

So, while the bigger battle against ISIS is clearly far from over, certainly the Iraqi military and the coalition will see this as a symbolic

victory. And there is a win here, not the least for the Obama administration's strategy of providing U.S. air support and military

advisers instead of U.S. boots on the ground, also 10,000 Sunni tribal fighters supporting efforts on the ground as opposed to co-opting the

controversial Iran-backed Shiite militia who have been used in other operations.

So, again, Iraq's military announcing they now control the government complex in the center

of Ramadi, which they claim means they have defeated ISIS in the city. They, though, do concede that the next step is to clear pockets they say

could exist elsewhere. Difficult times, I think. This isn't the end by any stretch of the imagination, Kristie.

[08:35:47] LU STOUT: Yeah, but as you put it, retaking Ramadi would certainly be a symbolic

victory. Becky Anderson reporting live for us from Abu Dhabi, thank you, Becky.

Now, after the break, we head to Japan to get an inside look at the healing properties of the Onsen. Stay with us.

(COMMERCIAL BREAK)

LU STOUT: Welcome back.

Now, anyone who's had a hard day of work can appreciate relaxing in a hot spring. Now soaking in the warm water is one of Japan's oldest and

best loved traditions.

Paula Newton explores its history and its healing properties.

(BEGIN VIDEOTAPE)

PAULA NEWTON, CNN INTERNATIONAL CORRESPONDENT: Early morning, southern Japan. The sky brightens, and still stubbornly refuses to give up

some sun.

But it doesn't matter, not in this town, where the gentle waters of hot springs in the Japanese Onsen are uplifting, even in a downpour.

For hundreds of years, these public baths have been designed to not only refresh and relax, many believe the hot Onsen waters heal injuries,

cure ailments, and nurture the body.

Want to know more? I bet. Come with me to the serene Shibasan Sol Ryuken (ph) or inn. Inside I take my place on the water's edge as Rikuko

Nakagawa tells me how her hometown waters, hot waters, are the key to youthful skin.

RIKUKO NAKAGAWA, RESIDENT: So, can you feel it a little bit?

NEWTON: Yes. It's very soft.

NAKAGAWA: (inaudible) and soft, yes. That is from the sodium.

NEWTON: Yes?

NAKAGAWA: That's why it's a little bit thick, that the water itself...

NEWTON: So, I'm not going to get naked, no one wants to see that.

But for Japanese custom, it's important to be naked. Why?

NAKAGAWA: Naked means nothing to hide.

NEWTON: So, you communicate better because you're both exposed.

OK, let's be clear, traditionally, there is one Onsen for the boys and one for the girls. But in this charming valley town, the traditional model

of an Onsen has been changing.

For years, Japanese of all ages have relished their baths as a restorative ritual. They were never designed to be luxurious.

But now, in tourist towns like this one, more spa-like ONsens have opened. Upscale baths can be rented for a private group or even private

Onsens in each room.

One distinctive design take in this town: open-air public foot baths, social places where people chat, relax and soak.

But here, a modern take: hot water soaks your toes as you drink up the atmosphere.

UNIDENTIFIED MALE (through translator): Our concept is to keep the good part, combine it

with something new and create something even better. We created an innovative combination of old and new, keeping the old spirit of

hospitality focused in Yuroshino (ph).

NEWTON: The result is the revamped Yoshidaya Ryuken (ph), an elegant spa retreat that still retains a Japanese authenticity in its design.

After four generations of family ownership, it was a dramatic transformation. This Ryukonen (ph) and its baths needed not just a

facelift but a change that was more than skin deep: cultural change. For years, the inn catered to large groups of rowdy men. Today, women and

families are staying, giving a whole new feel to the place.

Paula Newton, CNN, Yoshino (ph) Japan.

(END VIDEOTAPE)

LU STOUT: And on that relaxing note, that is Hews Stream. I'm Kristie Lu Stout. But don't go anywhere, World Sport with Amanda Davies is

next.

END