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Afghanistan Mourning Victims of Recent ISIS Attack; Munich Attack Investigation Continues; Hillary Clinton and Tim Kaine Campaign Together; Turkish Opposition to Hold Pro-Democracy Rally; Fate of Russian Olympians to Be Decided. Aired 2-2:30a ET

Aired July 24, 2016 - 02:00   ET

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

[02:00:08]

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NATALIE ALLEN, HOST: Afghanistan's President declares a national day of mourning after ISIS claims responsibility for one of Kabul's deadliest attacks in months.

Munich pays tribute to the victims to Friday's shooting while police try to find out why the teenage gunman carried it out.

And Hillary Clinton takes to the campaign with a running mate by her side.

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ALLEN: It's all ahead on "CNN Newsroom" thanks for joining us, we're live in Atlanta, I'm Natalie Allen.

In Afghanistan, Sunday is a national day of mourning after twin suicide bombings that killed dozens of people in Kabul.

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ALLEN: ISIS claims responsibility. The attack targeted a peace elf demonstration by a mostly Shiite ethnic minority. Officials say at least 80 people were killed some, 260 others wounded. Here's video from the moment of the blast.

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ALLEN: For the latest, I'm joined on the phone by a journalist (inaudible) in Kabul. Security was especially tight (inaudible) peaceful protest but suicide bombers were still able to cause this terrible loss of life. What else you can tell else about how the attack unfolded?

RUHULLAH KHAPALWAK (ON THE TELEPHONE) Indeed quite a sad morning here in Kabul after yesterday's terrible attack on the public, which claimed more than 80 lives and 200 others wounded.

The people in the minority group called Hezara which are manly Shia were protesting for their right to have power line go through the area, and this was the second largest public in Afghanistan and quite a successful one. But sadly, it was attacked by militants yesterday and claimed innocent lives and today still Kabul is mourning.

ALLEN: And security was especially tight. They knew that this peaceful protest was to happen. What are people saying about the fact that these suicide bombers were able to infiltrate this peaceful rally?

KHAPALWAK: I myself was there to cover the protest. Most of the area (inaudible) towards the protests were blocked by containers. However, it's very hard anywhere in the world, I'm sure, to prevent people who are suicide attackers on foot. The Afghan government had security measures all around the protest, but it's always very difficult for them to pinpoint individuals going in to these sort of protests that are (mass).

ALLEN: And women and children, were they also a part of the rally and do we have any idea of the number of women and children who might have been killed in this?

KHAPALWAK: Yes, indeed. The Hezara community, they're very liberal and they were part of the protest, women and we did see pictures of women being wounded. But we still don't have the exact figure of how many of them are the victims from yesterday's attack.

ALLEN: From this picture, we can see how large the rally was when this bombing happened.

Ruhallah Khapalwak talking with us from Kabul, thanks so much.

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ALLEN: This bombing is the latest in a string of ISIS attacks or ISIS inspired attacks in Afghanistan over the past year.

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ALLEN: On April 18th last year, a suicide bomber on a motor bike blew himself up in front of a bank in the eastern city of Jalalabad. At least 33 people were killed, more than 100 others wounded. In that same city three ISIS fighters launched an attack on the Pakistani consulate in January of this year. Officials say six people were killed as well as three assailants. And just last month 16 people were killed during a suicide attack on a bus carrying Nepali security guards in Kabul. ISIS claimed responsibility but so did the Afghan Taliban.

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ALLEN: We turn now to Munich, Germany. Police have raided an apartment after a shooting rampage killed nine people on Friday.

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ALLEN: Neighbors say the man living in that apartment is 18-year-old Ali Sonboli. Police believe he is the gunman who shot several people at a McDonalds and nearby shopping mall before killing himself. People in Munich are mourning the victims, most of whom were teenagers.

Our Will Ripley is live there in Munich at another makeshift memorial. We're seeing enough of these around the world. Hello there, Will.

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WILL RIPLEY, CNN CORRESPONDENT: Hi, Natalie. Yes, too many of these spontaneous memorials have been popping up every time you have a tragedy like this.

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RIPLEY: People come with their flowers and their candles and their prayers and they try to find some peace. And yet people here certainly in Munich and around Europe don't feel much peace.

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RIPLEY: Wondering what's going to happen, what's going to happen next. The interior minister had been warning since the attack also here in Brevaria, just within the last week where there was that Afghan teenager who swung at people on a train before he was shot by police. He said expect more of these lone wolf attacks. That attack was inspired by ISIS.

Investigators here don't believe that this one was related in any way to Islamic terrorism, per se. They believe this young man was researching shootings rampages and why students kill and they believe he was the victim of bullying dating back to his early teens when he was beaten up by a group of young people he was stolen from.

Neighbors said he was quiet and he was shy and he was reserved and they don't know for sure exactly what his motivation might be because they have yet to recover a suicide note. But they do know that he started shooting here at the McDonalds behind me and he walked across the street into the largest mall in Munich, the Olympia Shopping Center and he killed 14-year-olds, 15-year-olds. The victims most of them teenagers. Seven out of the nine ranging in age from 14 to 19. And the other two were age 20 and age 45. That's in addition to more than two dozen people injured, Natalie, and the city shut down for more than seven hours as a result of the actions of this young man.

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ALLEN: How long did the actual shooting take place and how long before police were able to move in and figure out what was going on, Will?

RIPLEY: The entire active situation, as far as shots being fired was over in about an hour, but there were rumors that were flying around the city that there could be up to three gunmen, which is why essentially this city was put on lockdown for such a large amount of time.

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RIPLEY: Public transportation came to a halt, all the metro stations were evacuated, people were told to avoid public areas because the Munich police say they wanted to make sure that this was not some sort of a coordinated attack involving more than one individual especially considering the fact that there were so many rumors flying around at that time and information was in short supply, at least actual factual information.

But another thing they're looking at very closely now that obviously you know they've reopened this road. The shopping center, it seems as if people are starting to step back into there. We saw a security guard walk through, keeping an eye on things. At some point, it will reopen to the public. But now they need to know where this weapon has come from. Germany has very strict gun laws, gun owners are required to register their weapons. And yet here is this 18 year old who obtained a 9mm glock 17 with a serial number scratched off and they found 300 bullets on him in his backpack when his body was found in a side street about half a mile from here.

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ALLEN: He could have done much more damage. Will Ripley, for us, thank you Will for that report, live from Munich.

ALLEN: Hillary Clinton and her vice presidential running mate, are campaigning together ahead of next week's Democratic convention.

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ALLEN: Senator Tim Kaine said he and Clinton will make immigration reform one of their top priorities. Republican presidential nominee, Donald Trump has angered many Latinos of course with his call for a border wall to keep immigrants out. Calling for an in exclusive country, Kaine spoke in Spanish at times to the crowd in Miami, Florida.

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TIM KAINE, U.S. PRESUMPTIVE DEMOCRATIC VP NOMINEE: In the first one hundred days, we'll put forward a comprehensive immigration reform package that includes a path to citizenship. [ speaking Spanish ]

ALLEN: A bilingual vice-presidential candidate there.

Donald Trump tweeted this "Just saw crooked Hillary and Tim Kaine together. ISIS and our other enemies are drooling. They don't look presidential to me.

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ALLEN: We turn to a wildfire ranging in Southern California, threatening homes and growing by the hour and the weather for that area will make it extremely difficult for firefighters to get a handle on it.

Karen Maginnis is in the World Weather Center for us. Hello there Karen. KAREN MAGINNIS, CNN METEOROLOGIST: Hey, Natalie, yes, it looks like

this couldn't happen at a worse area across California. But a lot of this state surround extreme to exceptional drought.

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MAGINNIS: There you can see in the orange and dark orange shaded areas but the sand fire, as it's referred to, has now encompassed about 20,000 acres or roughly 8,000 hectares for our international viewers.

This position puts it just about 60 kilometers to the north or roughly 35 miles to the north of downtown Los Angeles.

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MAGINNIS: Take a look at the video that we have for you out of this area where hundreds of firefighters have been battling this. There you can see the fire ranging right along the hillsides of this region and the smoke is so thick across this region. This is a fire that just started a little over 24 hours ago, and mushroomed into this 20,000 acre fire that is only 10% contained. And unfortunately for firefighters, the weather is going to continue to be breezy, hot, and dry with very low humidity. And it looks like it will be this way to the next five to seven days.

So if firefighters get a handle on this, that's going to be exceptional. We don't any reports of any injuries associated with this, but they are definitely battling the elements.

And take a look at what's happened across Hawaii. We have tropical storm Darby that has made land fall, that was around 2:00 local time. Very heavy surf, and it is weakening somewhat. A disaster has been declared across Hawaiian islands as it made land fall on the Big Island.

Now it's slowed down just a little bit, but it is continuing to weaken. We anticipate it will start to make a turn more towards the northwest, there you can see it as just a tropical area of low pressure. But that's not for about the next 36 to 48 hours or so. So you'll still deal with these heavy downpours. The potential for mud and landslides, as well. You're going to see torrential rainfall and if you have plans to go out in those beautiful ocean waters there, it is going to be exceptionally dangerous.

So, my advice is, stay indoors until this totally passes which is going to take at least the next several days, Natalie.

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ALLEN: I mean they're in Hawaii already, so that's OK. I'd stay indoors, too. Thanks Karen.

Well an aircraft powered only by solar energy has begun the final leg of its flight around the world. It is a flight that has taken sometime.

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ALLEN: Solar Impulse 2 took off from Cairo Sunday morning on its journey to become the first ever fuel-free flight across the globe. The plane is en route to its final des destination, Abu Dhabi, the same city where its voyage began in March of 2015.

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ALLEN: That is "CNN Newsroom," a shortened version, "Marketplace Africa" is next. See you soon.

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ZAIN ASHER, HOST: Welcome to Marketplace Africa. We cover the biggest economic trends impacting the continent.

I'm overlooking a runway here, I'm at the world's busiest airport, Atlanta's Hartsfield-Jackson International. And I'm here because I want to show you what is about to happen to some of the largest airports in East Africa.

According to the International Air Transport Authority Africa will have seven out of the ten fastest growing passenger markets over the next 20 years. Five of them will be in East African nations, in particular, Ethiopia, Uganda, Rwanda, Tanzania, and Malawi. Now the quest for growth of course comes with challenges and the need to meet those challenges has led some to this very airport. Take a look.

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ASHER: These men and women are embarking on a fact-finding mission.

(UNIDENTIFIED MALE): All the cargo buildings right here would be where the future cargo operation would move to.

ASHER: Airport managers from Ethiopia, Kenya, Rwanda, and Tanzania, have come to the United States to get a behind the scenes look at the world's busiest airport, Atlanta Hartsfield-Jackson.

They are looking at many parts of the operation including fire and rescue and even how birds are kept off runways.

The delegation already visited airports in Miami and Washington, D.C. They're hoping this show and tell around America can give them suggestions to improve their own airports.

(UNIDENTIFIED MALE): We would like to know -- learn a lot of things, especially how we can finance - how we can coordinate and also how we can develop the commercial aspect of airports.

ASHER: And they're also trying to get some deals done.

(SALIM MSAGNI): So right now we have about nine projects, airport projects, which we want investors. ASHER: All the countries represented in this East African delegation

have plans for maker airport upgrades or expansions. Some projects are already underway, like the rest of Africa, they're all bracing for an influx of travel on the continent.

RAPHAEL KUUGH: The transports are very positive. We see our 20 year forecast indicating traffic in Africa would grow the second fastest after Asia Pacific and the Middle East.

ASHER: But to manage that growth, there are several hurdles airports need to overcome. One, being the lack of coordination among airlines.

(UNIDENTIFIED MALE): Having the connectivity, or development of the national airline - the national airline is one of the critical components, and then the international airline, you need to have bilateral service agreements for different states or different other countries so that it can be easy for the airline to operate and generate revenues.

(UNIDENTIFIED MALE): We have a lot of tourists through the U.S. but they go through Amsterdam, but the connectivity issue can be resolved. If we have a national carrier, that will bring passengers from different parts with in Africa to (inaudible) and this will assure a U.S. carrier that once they come to (inaudible) they will have enough lot to take to U.S.

ASHER: Unfortunately, most African airlines are not known for sharing.

(UNIDENTIFIED MALE): There are a few air lines that are very keen to work with other African airlines but for the majority of African airlines they prepare to go alone.

(UNIDENTIFIED MALE): We fence off the security part but then we also have a fence for airport property.

ASHER: Regional airport security was also a topic of interest.

(MSAGNI): Customers only come to the airline or come to pass through the airport because in the back of their mind, they feel like the airport or the airline has done it, has done it in terms of - in terms of securing the aircraft in the air, securing the aircraft when it's on the ground, securing the airport inside.

(KUUGH) We are putting up terminal three in (inaudible), a modern terminal with all the facilities - the required infrastructure of security, compliant to American and European standards.

ASHER: Whether it's improved security or better infrastructure, Africa's airports are finding ways to keep the doors open for new travelers.

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ASHER: And as you just saw in the piece there, simple direct travel within the continent could be a huge issue.

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ASHER: When we come back we'll talk about how one East African carrier is trying to improve that. Don't go away.

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ASHER: Welcome back, everybody. Kenya airways was established in 1977 following the breakup of East African Airways. The group has 39 aircraft in their fleet and reported about a billion in revenue last year. Mbuvi Ngunze is the Group Managing Director and CEO, my colleague, Eleni Giokos sat gown with him after the airlines first flight to its latest destination to Cape Town.

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ELENI GIOKOS, CNN CORRESPONDENT: Kenya Airways goes to 54 destinations. In a very competitive environment you're going under a restructuring. But here we are in Cape Town and you've just launched a new route. Why?

MBUVI NGUNZE, CEO, KENYA AIRLINES: Why cape town? I think it's important to under we've already been flying to Cape Town. We're doing that in partnership with (inaudible) today. We fly to Jetvac three times a day, sometimes four times and we've been co-sharing with Kalua. And Cape Town is actually one of the large flows into Nairobi. So it's almost a natural extension for us so we decided to tag Nairobi to Livingston, where we're already flying onto Cape Town, as a way to just add more capacity on that route.

GIOKOS: Well tell me a little bit about your strategy at the moment, at Kenya Airways and the fact we know you're also embarking on layoffs. There's changes happening at the company. Where do you see Kenya Airways down the line?

NGUNZE: So I guess I'll answer the first question. I'm focused on three things today. How do we get back, how do we reduce our losses, how do we get back to profitability. How do I make sure that our business model is absolutely competitive in this changing dynamic, that's looking at where we fly to, what aircrafts we fly, and also who we partner with. And the third thing is how we finance our business both short-term and long-term.

So those are the things I'm focused on. And what is important for us today is and you're asking where we will we be four, five years from now. Elena business really focused on Africa, taking advantage of our Africa strength 60% of our revenue is in Africa growing the density of traffic in Africa.

GIOKOS: 60% of your revenue is in Africa, but if we look at your most recent results I mean you posted a loss over $250 million through March 2016. You're talking about reversing that loss.

NGUNZE: Correct.

GIOKOS: You've cut your fleet by 1/3rd. You are laying off around 600 people. How quickly do you think you can return to profitability?

NGUNZE: I think that's a - there are steps to be taken. The first thing is the quality of our loss is going to change year on year. If you look at in the half year, our operating loss reduced significantly, almost by $80 million at the half year to November. We haven't yet released our results for the full financial year 15-16, and that quality of loss is improving - that quality of result is improving.

What really has impacted on us in the year, three things. We're borrowing more, exchange differences - exchange rate differences with the dollar strengthening against the Kenyan shilling, which is our reporting currency. And the third thing, the last part of the hedges.

We will come back in profitability in 12 to 18 months as we reorganize our business. We've cut capacity but we're still flying the same routes that we are flying. So we're utilizing our assets more. We'll fly this summer just about 2% less seat kilometers relative to previous year having reduced our wide body capacity by seven aircraft.

GIOKOS: Co-sharing, you know using capacity effectively on the continent between airlines in Africa, that has been spoken about time and time again. It occurs every now and again between airlines but not really to the extent that should. Do you think that this is going to change, the conversation is going to change?

NGUNZE: You know today I sit as the chair of the African Airlines Association and it's - I tell you it's one of those agendas we are trying to see push to see much more cooperation across Africa.

You know I am convinced we must cooperate more, I'm convinced that this opportunity to work together.

[02:25:05]

NGUNZE: One of the big things that we were struggling with a lot is particularly for airlines that are on the IATA list was for other airlines also to be IOSA registered, which is from the safety point of view in order to be allowed for co-share. But I think there's more opportunity now that we are working with other airlines to improve their safety record to be able to do co-sharing. At least more (inaudible) corporation today.

GIOKOS: What complexes me about traveling into the continent is that sometimes you really have to do a hop, skip, and jump to get to where you need to be. Is that part of your vision do you think to offer direct flights?

NGUNZE: I would like as much as possible to offer direct flights to places and that's why you asked the question about partnering with other people and seeing whether they could co-share. Because clearly Africa is a huge continent and we've got to make sure we have the right partnerships with right places where we have opportunities to work with other people to simplify the way you travel across Africa. We've made differences over time.

GIOKOS: Absolutely. What are you most existing destinations at the time on the continent where you're seeing nonstop activity?

NGUNZE: I wouldn't say there's one particular area. I would say West Africa is looking interesting right now. Despite the commodity decline, the fact that we are out of the Ebola crisis, it's picked up you know Sierra Leone, and Liberia improving. Nigeria is showing something bright spots which is good. The southern part of Africa, there's some ups and downs. I would like to do more traffic into South Africa, and that is why we are launching Cape Town today.

GIOKOS: What does the African traveller want at the moment, and what can they afford.

NGUNZE: It's a mixed bag. It depends on where people are traveling to. If I look at the hub of Nairobi for example multinationals are positioning themselves in Nairobi because of (inaudible) connectivity. So what are they looking for? Frequency, ease of access to different markets they're flying to. Price will probably not be necessarily right up there, but will be part of the equation.

So there's a whole mix that you are trying to address from a product offering. But you know the beautiful thing, last year, our guests chose us a leading airline in Africa, sorry this year we got the award in April, for the first time in 24 years. And for the fourth year running, leading business class in of Africa, that says something that we're doing the right thing to serve our guests.

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ASHER: Well that does it for us at the world's busiest airport. Don't forget to go to our Facebook page and our website to keep up with all of our stories and share your thoughts. I'm Zain Asher, thank you so much for watching. I'll see you next time in the "Marketplace."