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Early Start with John Berman and Zoraida Sambolin

Officials: Plot to Kill Police Foiled; President Obama & Bush Call for Unity at Officers' Memorial; Sanders Endorses Clinton, Trump Narrows VP Search; Cameron to Submit Resignation to Queen; More Records on Wall Street. Aired 4:30-5a ET

Aired July 13, 2016 - 04:30   ET

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


(COMMERCIAL BREAK)

[04:31:28] MIGUEL MARQUEZ, CNN ANCHOR: Three arrested, one more suspect, possibly, on the run, accused of plotting an attack on police officers. New information this morning.

ALISON KOSIK, CNN ANCHOR: President Obama and Bush urging the country to unite at a memorial for five slain Dallas police officers.

MARQUEZ: And the race for president intensifying. Hillary Clinton finally getting a key endorsement as Donald trump narrows his V.P. search.

Welcome back to EARLY START. I am Miguel Marquez.

KOSIK: Good morning.

MARQUEZ: Good morning.

KOSIK: I'm Alison Kosik. It's 30 minutes past the hour.

And breaking overnight, authorities in Baton Rouge say they foiled a plot to kill police just days after Baton Rouge officers shot Alton Sterling, three men have been arrested in this. Men who officials say stole guns, and stole ammunition intending to shot police officers. Authorities say one suspect is still at large. That is not the only threat facing police there.

CNN's Boris Sanchez is in Baton Rouge with the latest.

(BEGIN VIDEOTAPE)

BORIS SANCHEZ, CNN CORRESPONDENT: Miguel and Alison, officials tell us they have every reason to believe there is potentially a fourth and maybe more suspects involved in this plot to harm officers in Baton Rouge. This all started late Friday night into Saturday morning after officials tell us there was a burglary at a Cash America Pawnshop here in Baton Rouge when they saw one suspect fleeing the scene with a handgun.

After interrogating that suspect, he apparently told officers that him and a group of people were, quote, "looking to get bullets", in order to target police officers during following the death of Alton Sterling. Due to the information that was gathered during that interrogation, officers raided a home yesterday here in south Baton Rouge, and they arrested two other suspects, one of them a 13-year- old. They were able to recapture some of the weapons stolen during the burglary.

There were eight weapons taken in all. They now have six in their possession. But there's still two weapons, two handguns, that are missing. So, officials are still looking for it.

Again, they're looking for a potential fourth suspect. They made a plea to the community and the suspect himself to turn himself in peacefully. It's critically to point out, this is one of two credible threats that the Baton Rouge police department is dealing with right now. They tell us they received dozens of threats, not only against law enforcement, but against protesters, and against he public in general.

But there are two that they deemed credible enough to dedicate resources to, the burglary at the pawn shop, and a report from an officer who said he was being followed by someone suspicious. We don't have many details about how that incident unfolded exactly. What we're hearing is that the officer reported having been followed at some point. And now, officials are investigating that. Again, we don't have that many details, but as soon as we do, we will hopefully flesh it out and continue to follow developments as this manhunt for a potential fourth suspect continues in Baton Rouge -- Alison, Miguel.

(END VIDEOTAPE)

MARQUEZ: Boris Sanchez for us in Baton Rouge.

A day of mourning in Dallas with private funerals scheduled for three of the five police officers murdered in the street by a sniper last week. On Tuesday, the city came together as the nation watched. President Obama and George W. Bush speaking passionately at the public memorial for the officers, both reaching across party and ideological lines, calling for unity among Americans in the wake of last week's tragedy.

(BEGIN VIDEO CLIPS)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: And today, in this audience, I see people who have protested on behalf of criminal justice reform grieving alongside police officers.

[04:35:05] I see people who mourn for the five officers lost but also weep for the families of Alton Sterling and Philando Castile. In this audience, I see what's possible --

(APPLAUSE)

I see what's possible when we recognize that we are one American family, all deserving of equal treatment, all deserving equal respect, all children of God. That's the America I know. GEORGE W. BUSH, FORMER PRESIDENT: We recognize that we are brothers

and sisters, sharing the same brief moment on earth, and owing each other the loyalty of our shared humanity. At our best, we know we have one country, one future, one destiny. We do not want the unity of grief, nor do we want the unity of fear. We want the unity of hope, affection and high purpose.

(END VIDEO CLIPS)

MARQUEZ: Later today, President Obama will host law enforcement, civil rights, faith activists and elected leaders for what the White House is calling a conversation on community policing and criminal justice.

KOSIK: There's new determination from the mother of Philando Castile to give meaning to her son's death at the hands of police. Castile shot and killed last week by police during a traffic stop in Minnesota. Late last night, his mother Valerie Castile telling CNN that she appreciated the phone call from President Obama on Tuesday, but she says much more must be done. Along with her attorney, TV judge Glenda Hatchett, she defended her son, saying he did everything right when police pulled him over.

(BEGIN VIDEO CLIP)

VALERIE CASTILE, MOTHER OF MAN KILLED BY POLICE: He did everything he was supposed to do to be a productive citizen in the state of Minnesota. And I want everyone to know who he is, who he was and what he stood for.

JUDGE GLENDA HATCHETT, LAWYER FOR FAMILY OF PHILANDO CASTILE: We're talking about a man who was doing right, who had a job, who wasn't trying to fight with the police, who wasn't a felon running and combative and trying to get the policeman's gun. We're talking about a man who was employed, who was loved with his community, loved by his family, and who was permitted to have a gun, and now, he's dead. So, we're saying this time, you know, and he did it all correctly, this time must be the last time.

(END VIDEO CLIP)

KOSIK: Valerie Castile says she's still not seeing the Facebook streamed by her son's girlfriend in the aftermath of the shooting. She said it would be just too painful to watch Philando in agony. Meantime, police called to the scene after the shooting. They say there is more about what happened that they want people to know.

Meantime, people called to the scene after the shooting.

(BEGIN VIDEOTAPE)

ROSA FLORES, CNN CORRESPONDENT: Miguel, Alison, you've seen the video of Philando Castile inside his car with the white t-shirt covered in blood. Now, Castile is the black man who was shot and killed by a police officer. That video was shot near this memorial on this street. But what about when that cell phone video goes to black. Well, the

police chief of some of those first responding police officers helps us fill in the gap. He said his officers arrived on scene, procured the scene, and within three minutes started administering CPR on Castile. He said those officers administered CPR just outside of his door.

CHIEF REICK MATHWIG, ROSEVILLE, MINNESOTA POLICE: Our officers didn't know who had shot whom. There's a lot of things that they had to work through. At 9:10 p.m., so three minutes after they arrived they started to perform CPR on Mr. Castile. Four rows of officers using an AED had performed CPR on Mr. Castile until they were removed by St. Paul Fire and Paramedics, because St. Paul Fire handles the medical emergency in the city of Falcon Heights.

FLORES: Now, the chief also said that all of that was captured on dash cam video and that video was turned over to the state agency conducting this investigation. He says that it will all be revealed when the investigation is completed -- Miguel, Alison.

(END VIDEOTAPE)

KOSIK: All right. Our thanks to Rosa Flores for that.

And time for an early start on your money. Two giant U.S. employers, they're giving their workers a big raise, 18,000 employees at Chase Bank branches will see their pay jump. The minimum hourly rate will increase to $12 an hour. That's an 18 percent rise.

Jamie Morgan's Dimon says the increase is a right to do, telling "The New York Times" that Americans have gone too far, have gone far too long without a significant bump, and they deserve to share in the rewards of economic growth.

Workers at Starbucks are also getting a raise.

[04:40:03] The coffee chain will increase pay 5 to 18 percent for all store managers and employees. So, that covers 7,600 company operated locations.

The raise has come amid growing dissatisfaction among Starbucks employees who say their hours had been cut, even a group of them with a petition which has more than 13,000 signatures. Interestingly enough, everybody at Starbucks, the employees getting raises, coffee price going up.

MARQUEZ: But I also wonder if this is a trend in the U.S. economy that finally wages are starting to rise.

KOSIK: It certainly is, yes.

MARQUEZ: Fascinating.

Hillary Clinton finally getting an endorsement from Bernie Sanders, but are his supporters ready to unite behind her candidacy? We'll get into that, coming up. (COMMERCIAL BREAK)

MARQUEZ: Donald Trump expected to choose a running mate by Friday.

[04:45:02] One of the odds-on favorites, Indiana Governor Mike Pence just got a tryout on the campaign trail. And Republican Party insiders say he looked the part, attacking Hillary Clinton while building up his potential boss.

We got more from CNN's Dana Bash.

(BEGIN VIDEOTAPE)

DANA BASH, CNN CHIEF POLITICAL CORRESPONDENT: Miguel and Alison, right here in Indiana, it was audition time, for the state's governor, auditioning clearly to be Donald Trump's vice presidential running mate. He tried to hit all of the points that are traditionally necessary for a running mate, somebody who is supportive of the candidate's agenda, an ability to be president, but maybe when it comes to raw politics, somebody who can be an attack dog for the opponent.

GOV. MIKE PENCE (R), INDIANA: You know, Hillary and her party has been sliding so far to Bernie's left of his agenda it's hard to keep track of it. The truth of the matter is, that they're -- I just have to tell you from my heart, after looking at the direction that their party has gone, farther and farther to the left, to paraphrase the director of the FBI, I think it would be extremely careless to elect Hillary Clinton as the next president of the United States.

BASH: Now, Indiana Governor Mike Pence is not known very well on the national stage, but he is somebody who has quite a lot of support and has gotten more so over the past couple of days, even, from conservatives who believe that he is one of them. He is a true evangelical.

And also one other interesting point is his donors, Mike Pence's donors, tend to be those, many of who tried to fund and did fund the Never Trump movement. So, that could be something that would make Donald Trump happy.

But at the end of the day, it's got to be the comfort factor and the ability to be commander in chief if needed. And, certainly here, at this public meeting, and more importantly perhaps, in private discussions, we're told that the two have bonded.

But Donald Trump has made clear, as has his aides, not necessarily a final decision yet, and there are other people like Newt Gingrich, the former House speaker, on the short list -- Miguel and Alison.

(END VIDEOTAPE)

KOSIK: All right. CNN's Dana Bash.

Donald Trump has gone to war with Democratic and Republican politicians during the campaign. Now, he's battling a Supreme Court justice, Ruth Bader Ginsburg, that's after she expanded criticism, calling him a faker with an ego who says whatever comes into his head.

Trump blasting with a tweet overnight, saying this, "Justice Ginsburg has embarrassed all by making her very dumb political statements about me. Her mind is shot. Resign."

Trump saying earlier that Ginsburg is a disgrace to the court and should apologize to her fellow justices.

During a CNN town hall last night, House Speaker Paul Ryan echoing Trump's feeling that Ginsburg crossed the line.

(BEGIN VIDEO CLIP)

REP. PAUL RYAN (R-WI), SPEAKER OF THE HOUSE: I find it very peculiar. I think it's out of place in appointed branch of government. That shows bias to me. Now, those of us who are in the elected branch of government, who get elected to things, I think that's perfectly in the realm. But for someone on the Supreme Court who is going to be calling balls and strikes in the future based upon whatever the next president and Congress does, that strikes me as inherently biased and out of the realm.

(END VIDEO CLIP)

MARQUEZ: Hillary Clinton is returning to the campaign trail this morning in Illinois. It's going to be Clinton's first day under the banner of what she hopes is a united Democratic Party. The sight many of the party faithful waited months to see, that came yesterday at an event in New Hampshire, when Bernie Sanders formally endorsed the presumptive nominee.

We get more from CNN's Jeff Zeleny.

(BEGIN VIDEOTAPE)

JEFF ZELENY, CNN SENIOR WASHINGTON CORRESPONDENT: Miguel and Alison, after a long heated Democratic presidential campaign, Bernie Sanders and Hillary Clinton stood on the stage, hugged one another and vowed to take on Donald Trump. Senator Sanders said six words, "She must be our next president".

SEN. BERNIE SANDERS (D), VERMONT: Secretary Clinton has won the Democratic nominating process.

(CHEERS AND APPLAUSE)

And I congratulate her for that.

(CHEERS AND APPLAUSE)

She will be the Democratic nominee for president.

(CHEERS AND APPLAUSE)

And I intend to do everything I can to make certain she will be the next president of the United States. (CHEERS AND APPLAUSE)

[04:50:02] ZELENY: Senator Sanders pledging to be all he can to help defeat Donald Trump. It's an open question, though, how many supporters will follow him. Several Sanders supporters we talked to from here in New Hampshire, Vermont, other states said they had no intention of voting for Hillary Clinton. Others said they weren't so sure.

But Hillary Clinton was still thankful and praising of Senator Sanders herself for running a long, hard-fought campaign.

HILLARY CLINTON (D), PRESUMPTIVE PRESIDENTIAL NOMINEE: So thank you, thank you, Bernie, for your endorsement, but more than that --

(CHEERS AND APPLAUSE)

Thank you for your lifetime of fighting injustice. I am proud to be fighting alongside you because, my friends, this is a time for all of us to stand together.

ZELENY: Senator Sanders said he will stand with Hillary Clinton in all corners of the country, he'll be doing it alone, though, without the protection of the Secret Service. He officially lost Secret Service protection when he returned to Washington from New Hampshire. He's enjoyed that since February. He's no longer a presidential candidate. He's simply the junior senator from Vermont -- Miguel and Alison.

(END VIDEOTAPE)

KOSIK: Thanks for Jeff Zeleny for that.

You know, it was another record day on Wall Street yesterday. Which the average hit a record high and will we see more gains today? Let's look at your early start on your money, next.

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[04:55:38] MARQUEZ: Historic morning unfolding in the United Kingdom. Just hours from now, David Cameron will leave Downing Street for the last time as Britain's prime minister. He'll head straight to Buckingham Palace to tender his formal resignation, Cameron's replacement, Theresa May, will then be granted an audience with the queen.

I want to go live to London and bring in CNN's Robin Oakley.

Robin, it's a head-spinning couple of weeks in the U.K. Obviously, the Tory prime manager is going to change. There's a fight within the Labor Party. Is there any chance we'll see a snap election in the months ahead?

ROBIN OAKLEY, CNN POLITICAL CONTRIBUTOR: No, I don't think, Miguel, that we're going to see a snap election. Theresa May when she first made her pitch for the leadership of the conservative party, which carries with the job of prime minister, said there will be Brexit on Brexit, there would be no second referendum on Britain coming out of the European Union and no election until 2020, which is when the next one is fixed to be.

There might be a political temptation to have an earlier election because the Labor Party, as you mentioned, is in such disarray. Its leader, Jeremy Corbyn, challenged by one of his own front benchers for the leadership of the party, and the party may be about to split. But no early election is on the cards, Miguel.

MARQUEZ: And with regard to triggering Article 50, which will get the formal process of Brexit under way, it sounds like she wants to do that later? But the Europeans want to do it earlier. Where are we going to come down on this?

OAKLEY: Yes, there's a complete standoff on that. The European leaders can't wait to get on with the negotiations because they don't want this whole business of countries leaving the E.U. dominating the news and encouraging other countries, perhaps, to think about it.

So, the question of -- of the negotiations and being actually stopped up by Article 50 won't come up until at least the end of the year, Theresa May has again made that clear. She will want to start some informal talks with other leaders about the possible shape of a deal of taking Britain out of the European Union. But no formal talks until she does Article 50. So, total standoff, Miguel.

MARQUEZ: Just when Game of Thrones is over, it's all live action for you out there.

Robin Oakley, thank you very much.

(LAUGHTER)

All right. Let's get an early start on your money. Dow futures are flat right now. European stock markets, they are not moving much either. But shares in Asia, they finished with green arrows. Oil is down after a big gain yesterday. And Wall Street enjoyed yet another record high at Tuesday's close. The Dow Jones Industrial Average is going into today's session at its highest level ever, after the S&P 500 hit a new record Monday.

Three days of gains helped it average past the previous record hit in May of 2015. Now, the Dow is gaining 5 percent on the year but trading has been really volatile.

The national debt will top record levels in 20 years without changes to current law. Debt could rise to 141 percent of the size of economy by 2026. This is according to a new study by the Congressional Budget Office. By 2036, it will pass the historical peak of 106 percent hit after World War II. Right now, it's at 75 percent.

Here's the reason. Lawmakers don't address the bigger chunks. The top free budget busters are Social Security, Medicare and Medicaid, and interest on the debt in the U.S. has already borrowed. So, where do the presidential candidates stand on this? Well, neither

Hillary Clinton or Donald Trump, neither of them offer specific plans to improve the country's debt outlook, but both would add to the ballooning tally, because if you look at Trump's plan, driven by his tax cuts, that would add $11.5 trillion to the national debt, this according to a recent study.

And if you would look at Clinton's plan, that would add $250 billion to the national debt, but her plan at this point, that number does not include the changes that she announced last week to her health care and college proposal. You know, when you talk about the debt, it's so theoretical. Its' something that everybody kind of talks about and bask about, but it never really takes hold --

MARQUEZ: It's amazing to look at that graphic, that only $250 billion looks like a small amount.

KOSIK: I know, it's amazing.

MARQUEZ: It's incredible, amazing.

EARLY START continues right now.