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Tropical Storm Hermine Wreaks Havoc in U.S.; Philippines on Lockdown after Deadly Explosion; Putin Weighs In on U.S. Election; FBI Releases Hillary Clinton E-mail Report; Trump Tries to Court African-American Voters; World Leaders to Meet at G20 in China; Samsung Recalls Galaxy Note 7 over Battery Fires; Mother Teresa to be Canonized on Sunday. Aired 2:00-2:30a ET

Aired September 03, 2016 - 02:00   ET

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


[02:00:12] NATALIE ALLEN, CNN NEWSROOM HOST: Tropical Storm Hermine is creeping the East Coast and you can see what it's leaving behind. A deadly blast in the hometown of the Philippines' president, now the entire country is on lockdown. And Russian President Vladimir Putin said his country didn't hack the Democratic National Committee but he's glad somebody did. It's all head here on CNN NEWSROOM now. We're live in Atlanta. Thank you for joining us. I'm Natalie Allen.

The Philippines is on lockdown right now. President Rodrigo Duterte says the country must confront what he calls the ugly head of terrorism after a deadly explosion tore through a popular night market in his hometown, Davao City, Friday. At least 14 people were killed and 71 wounded.

A Presidential Spokesman says components of a suspected improvised explosive device were found at the scene. Mr. Duterte was in Davao but wasn't hurt. He's authorized police and military to search vehicles and individuals at check points.

I spoke a short time ago with Ina Andolong in Davao, she's a senior correspondent for CNN Philippines and I asked her what new details are coming out about the explosion.

(BEGIN VIDEOTAPE)

INA ANDOLONG, CNN PHILIPPINES CORRESPONDENT: Natalie, Davao City is home to President Duterte. He served as mayor of this city for more than 20 years and he was quick to respond to the site. He arrived at the site of the blast which is right behind me just few hours after the explosion happened last night.

Right now, the death toll or the number of people killed from the explosion stands at 14, at least 67 others were injured. Police are still investigating the cause of the explosion. A doctor at a hospital here in Davao tells CNN Philippines some of those injured were or being treated for shrapnel wounds.

Now let me show you what's happening behind me. Investigators completed their post blast investigation earlier today. Right now, they're basically hosing off the pavement, getting the blood -- some of the blood stains from the victims last night out or hosing them off from the pavement.

The president explained that -- or the President Duterte declared a State of Lawless Violence earlier today and he explained that this is not Martial Law. He explained the State of Lawless Violence means that the military and the police will increase their visibility and also intensify checkpoints all over the country.

Now this move aims to curb what he believes is lawlessness happening in the country not just with the explosion last night but he also says it is because of the killings unfairly attributed to the police.

As far as President Duterte is concerned, the explosion last night is an act of terrorism. No claim yet of responsibility but the president says this could be a retaliation to the ongoing military offensives against the Abu Sayyaf in the Province of Sulu or it also could be related to his war on illegal drugs. Natalie.

ALLEN: And Ina, there are no suspects at this point?

ANDOLONG: Yes. Well, authorities here, Natalie, are being very careful as to identifying suspects. They are looking at authority -- local officials here, however, have confirmed that they have gotten intelligence reports of threats here in Davao City.

However, they are also looking at a number of possible causes for the explosion. They're looking at a possible LPG tank that exploded. They're also looking at the possibility of some vendors from the night market apparently angry over the shutting down of the night market a while back. They say they could also be behind the explosion.

Of course, they're also not ruling out the possibility that terror groups are behind this especially the President himself said that they are well aware that threats have been issued by terror groups like the Abu Sayyaf previously and that this really is not an isolated case as far as he's concerned.

ALLEN: Ina Andolong talking with me earlier from the Philippines.

(END VIDEOTAPE)

Tropical storm Hermine is marching up the southeastern U.S. with damaging winds and heavy rain and flood waters. On Friday, it ripped into Florida's big bend region as a category one storm; the first Hurricane to come ashore into date since Wilma struck 11 years ago.

Hermine is expected to reach the Atlantic Coast in the coming hours where it could regain strength once it mixes with warm water. A flash flood watch is also in effect right now for part of the Carolina's.

The storm is having an impact on thousands of people looking to spend a final summer holiday weekend at the beach, not so much. Meteorologist Derek Van Dam is here with the latest for us.

DEREK VAN DAM, METEOROLOGIST: Natalie, a great verb to describe what Hermine is doing right now, marching up the northeast. I think sprinting would probably be a more appropriate term. But we are about to put the breaks on this tropical storm over the next two days and that's going to cause some significance problems as it stalls out over the Atlantic Ocean.

Here is the current storm. It is located just off the coast of North Carolina. It is moving out of the northeast at 22 miles per hour. And the current sustained winds, 16 miles per hour. That's roughly 100 kilometers per hour. But look what happens as it heads into the Atlantic.

Well, we've got a lot of uncertain computer models at the moment but one thing is for sure, it will slow down. It could potentially intensify and it's going to have major impacts on the East Coast of the United States.

Let's try and break it down for you here. Remember, once the storm moves into the Atlantic Ocean, it's going to start to interact with warmer waters from the Gulf of Mexico. We need temperatures of at least 29 degrees Celsius, 79 degrees Fahrenheit for redevelopment into this tropical type nature of a storm. And it looks as if gulf stream waters currently, right now, are easily in the lower 80s or right around 30 degrees Celsius.

Now, a lot of people comparing this to what was Sandy, Hurricane Sandy, back in October of 2012. The big difference here is that Sandy was much more greater in scope compared to Hermine. Hermine is a much more compact storm. But nonetheless, could have major impacts for the East Coast.

So let's break it down. We have the potential of tornadoes, flash flooding, damaging winds at least in the near term and storm surge going forward will be the major concern as we head up the Mid-Atlantic state into the New England coastline.

Look at the rain, flood watches that we have from Cape Hatteras inland towards Raleigh, North Carolina. Current wind gust, well in excess of 40 miles per hour at the moment, roughly 75 kilometers per hour.

And look at the energy associated with the system of the waves, on the open ocean could easily exceed 30 feet. That is going to spell the potential for storm surge from Virginia Beach into Atlantic City even perhaps into the New Jersey sound as well. So not great timing here, Natalie, to say the least.

ALLEN: Yes, that's right. We will be watching it. All right, Derek, thank you.

VAN DAM: All right.

ALLEN: The FBI has released notes from its interview with Hillary Clinton over her e-mail. The U.S. Democratic presidential candidate is under fire for using a private server while Secretary of State. She apparently told investigators she either didn't recall specific training on classified information. Clinton supporter say the notes don't provide a criminal smoking gun

as the FBI had indicated but advisers for Republican challenger Donald Trump say they show she cannot be trusted.

Meantime, Trump is trying to court African-American voters his latest outreach includes a trip to a black church in Detroit, Michigan. But the visit is already steeped in controversy. Here is Sarah Murray.

SARAH MURRAY, CNN CORRESPONDENT: Donald Trump is taking his tightly scripted approach to winning over minority voters to a round table in Philadelphia today. The GOP nominee is already facing criticism for his next campaign stop on African-American church in Detroit.

That's after "The New York Time's" unearthed transcript of the pre- written replies of Trump's campaign hoped he deliver to pre-supplied questions in a Q and A with the pastor. Now that pastor says he's tweaking his questions. And he expects Trump's visit will be a bit more expansive.

UNIDENTIFIED MALE: He wanted to meet and talk to some people while he was here. That's what his visit is all about to make sure that he, while he's in town talking to people because he's been criticized that he's been preaching to African-Americans from a backdrop of white people.

MURRAY: As for Trump, his pitch is staying the same, arguing minority voters have nothing left to lose.

DONALD TRUMP, PRESIDENTIAL CANDIDATE: You have tremendous numbers of African-Americans that have really had a hard time. They live terribly. And I say, what do you have to lose? I say to them, what do you have to lose? Give it to me, I'm going to fix it.

MURRAY: But after the backlash from his hard line immigration speech this week, a speech that cause him a support of some of his own advisers. Trump says his plan was misunderstood. Now, he's saying his approach to dealing with millions of undocumented immigrants in the U.S. isn't set.

TRUMP: I want to see -- before we do anything further, I want to see how it shapes up when we have strong act -- you know, I use the word, impenetrable boarders.

MURRAY: All of this, even as he admitted to "The Wall Street Journal" that his meeting with the Mexican President inspired him to toughen his immigration speech. Trump is saying he added this line.

TRUMP: They don't know it yet but they're going to pay for the wall.

MURRAY: After the Mexican President revealed via Twitter that he told Trump he wouldn't pay for border walls. With the campaign entering its final spring, Trump is taking care of other task, receiving his second class of intelligence briefing in New York today and hiring a new deputy campaign manager, David Bossy, the president of conservative advocacy group, Citizens United. ALLEN: Sarah Murray reporting there. After only two weeks on the market, Samsung is issuing a massive recall for one of its phones, coming up, what the company will do for you if you've got one of these.

Also, G20 leaders, a meeting in China. What's at stake as President Obama is about to land there. And we will talk about why the Summit has its special significant for Mr. Obama, that's just a minute.

(COMMERCIAL BREAK)

ALLEN: And welcome back to CNN NEWSROOM. Samsung is recalling millions of its newest smartphones. The company says dozens of customers have reported their Galaxy Note 7 caught fire while charging. Samsung released the phone just two weeks ago. 2.5 million on of them have already been sold. Samsung says it will announce soon how the recall process will work. Note 7 customers will be able to swap their faulty phone for a new one for free.

Barack Obama is expected to land any moment now in China. He's attending his last G20 meeting as U.S. President. Our Athena Jones joins us now live from Hangzhou, the city hosting the G20 and what can we expect. Hi there, Athena.

ATHENA JONES: Hi, Natalie. Well, after the president lands here and is greeted with the greeting ceremony, he will have an extended bilateral meeting with President Xi of China. This is of course his 11th trip to Asia. The Asia Pacific being very important and center piece the White House says of the administration's foreign policy, the so-called pivot or rebalance to focus more on the Asia Pacific region.

And China, the relationship of China is an important part of the focus. This is going to be the president's eighth sit down, eighth face-to-face with President Xi and his fourth extended bilateral meeting. That meeting will be followed by a working dinner. And there are a whole slew of issues on the table as you could imagine, everything from trade and investment, they will likely talk about the steel glut in the steel industry that's distorting the market. They will talk about North Korea efforts to reign in their nuclear ambitions.

And also maritime issues. Issues of the China's territorial claims in the South China Sea and the East China Sea that are at odds with many of its neighbors. There was a ruling just a couple of weeks ago in July, I should say, by an international tribunal ruling against China's claims in the South China Sea, that ruling in honor -- in favor of the Philippines. Take a listen to what President Obama had to say about what his message would be to President Xi about the South China Sea.

BARACK OBAMA, U.S. PRESIDENT: Part of what I tried to communicate to President Xi is that the United States arise to this power in part by restraining itself. And when we bind ourselves to a bunch of international norms and the rules, it's not because we have to, it's because we recognize that over the long-term, building a strong international order is in our interests. And I think over the long-term will be in China's interest as well.

So where we see them violating international rules and norms as we have seen in some cases in the South China Sea or in some of their behavior when it comes to economic policy, we've been very firm. And we've indicated to them that there will be consequences. But what we've tried to emphasize to them is if you are working within international rules and international norms then, we should be partners. There is no reason that we cannot be friendly competitors on the commercial side and important partners when it comes to dealing with the many international problems that threaten both of us.

JONES: Now, it's not entirely clear what those consequences President Obama spoke of could be. Also on the table, climate change. Both china and the U.S. has said that they are going to formally ratify the Paris Climate Agreement aimed to curbing carbon emissions this year. That could happen as soon as this summit, these series of meetings coming up.

But also issues that will be discussed on the table are things that there are differences between the U.S. and China on like human rights and democracy. The White House says that these discussions are always candid, that both leaders have grown comfortable being very, very candid with each other, even when discussing their differences, Natalie.

ALLEN: All right. As we said the president of United States expected to arrive there in China at any moment. Athena Jones, thank you, will be covering it for it.

The city hosting the G20 Summit, Hangzhou, is also the home of the Chinese e-commerce market place, Alibaba. Its founder, Jack Ma, is beating the drum for free trade saying it improves the world and stops wars. He sat down for a rare interview with CNN'S Andrew Stevens.

(BEGIN VIDEOTAPE)

JACK MA, CHINESE BUSINESS MAGNATE AND PHILANTHROPIST: We want to tell the world there is a way to improve globalization. It's too late to go back. It's never too late to improve yourself. So globalization, I'm a big believer because I've seen China happen in the past 20 years.

And if China can work in that way, why the other developing nations cannot have that way? If Chinese young people can use the internet buy themselves across the board, why India's small business, why Pakistan's young people, why Argentina young people cannot do it? So we should find a solution for them.

ANDREW STEVENS, AMERICAN EXECUTIVE: Do you have a solution?

MA: Well, we call Electronic World Trade Platform. It's not electronic World Trade Organization. If it is to your organization, it's like a, you know, nearly 200 government leaders sitting in that room, they quarrel, they fight because of the political reasons, they stop the trade. We think trade is something to stop the wars. Trade is something to

improve the communications. When trade stops, the war comes. We should form a platform that helping small guys. If a Philippine farmer wants to sell his products to Norway, to Argentina, there's no way. Only big companies.

We should make an open platform, every country, every small business, every young people. If you want to get involved it, just join it. We want to speak on behalf of the business world, we need globalization. We need free trade. This is the message.

STEVENS: But don't those voices are being drown out for the moment, aren't they, jack?

MA: Yes, they would (inaudible). This is why somebody has to talk about it. Imagine, how can you stop global trade? How can you build up a wall to stop the trade?

STEVENS: I have to ask you this. You mentioned walls, you mentioned sort of this opposition to trade. We have a U.S. presidential candidate who is saying those, echoing those very words.

MA: But I've seen so many elections And every time there is election, people start to criticize China, criticize this and criticize --

Well, you guys -- we got, you know, curious in watching that and I think, I have confidence, the America will be calmed down and that the politician will do the real stuff.

STEVEN: Hangzhou is hosting the G20. It is the home of Alibaba. Is it any coincidence the G20 is here in the home of Alibaba?

MA: I hope so. But I'm so proud of this city. Many people try to convince us and the people keep on asking why Hangzhou, why not the Alibaba Headquarter in Beijing or Shanghai? Because this city is with great culture. We believe in private sectors and entrepreneurships.

(END VIDEOTAPE)

ALLEN: Jack Ma there, the founder of Alibaba.

A new report shows the U.S. economy added 151,000 jobs in August. That's less than expected and much lower than previous months. August has historically been a weak month though. And the unemployment rate stays at 4.9 which is near what's considered full employment.

Republican presidential nominee Donald Trump says those numbers are misleading that unemployment is really up and that Democrats are bad for business. Here's how the U.S. Labor Secretary Thomas Perez responds.

THOMAS PEREZ, U.S. LABOR SECRETARY: Here is the real fact. And I think it's important during every period to deal in facts. Over the last 35 plus years, we've had 20 years of Republican control of the White House and 15 and a half years and counting of Democratic control of the White House. Net new private sector job growth. Jobs gained minus jobs lost during the 20 years of Republican rule was about 15.8 million net new jobs.

Net new job growth under the 15 and a half years of Democrats is 31.8 million. More than twice as many jobs gained under Democratic presidents with four years plus less time than the Republicans.

ALLEN: The U.S. Labor Secretary there. The Spanish Parliament has voted to reject its acting prime minister's second bid this week to form a minority government. Mariano Rajoy effectively lost the confidence vote to serve a second term as prime minister. The vote put Spain on track to hold it's third election in one year.

The political turmoil appears to be having little or no impact on the Spanish economy. The country's growth domestic product jumped 3.2 percent in the second quarter. The second quarter unemployment was at its lowest rate in six years and tourism is up 11 percent.

The late Mother Teresa will soon be declared a saint by the Roman Catholic Church. Up next, to look back at her remarkable life and legacy.

(COMMERCIAL BREAK)

ALLEN: She was known as the Saint of the Gutters and revered by people around the world as a beacon of compassion for the poorest of the poor. On Sunday, Mother Teresa will be canonized, recognized as a saint by the Roman Catholic Church. CNN's Alexandra Field visited Kolkata, India, center of Mother Teresa's work, the folk people who knew here.

(BEGIN VIDEOTAPE)

ALEXANDRA FIELD, CNN CORRESPONDENT: Mother Teresa's base was known all over the world but before she belonged to everyone, she belonged right here in Kolkata. This is the house that she lived in. It's the house that she worked in. It's even the house that she died in.

CHANDRA TRAKABURDE, MOTHER TERESA'S WORKMATE: She's a real intense- like.

FIELD: (Chandra Trakaburde) worked alongside Mother Teresa for years caring for others.

What were the last words that you said to each other?

TRAKABURDE: Mother, give us blessing. And she told that, please, you go on working like that.

FIELD: It brings a tear to your eye.

TRAKABURDE: This is my asset.

FIELD: The two saw each other for the last time four days before Mother Teresa's death. Her body lies here in her house near the small, bare room where she lived.

What Mother Teresa was known for, what she won a Nobel Prize for, the reason that so many people regarded her even as a living saint though, was because of all the work that she was doing outside of these doors.

Hello. Thanks for chatting with us.

(Dr. Kingship Chachargi) is a history professor at the University of Kolkata.

How did she change this city where so much of her work started?

KINGSHIP CHACHARGI, PROFESSOR AT UNIVERSITY OF KOLKATA: Generally, this is a person who probably in some way was helping the conscience of the city for the way they ignoring the (inaudible).

FIELD: Her outreach to abandon children, to the dying and the destitute, to the lepers garnered her international attention. Her organization, the Missionaries of Charity, would extend its reach around the world. But in Kolkata, they considered the nun who came from Albania and swathed herself in a (swari) one of them.

CHACHARGI: When people talk about Indians who have won the Nobel Prize, Mother Teresa's name comes up among the first of them although she was not even born an Indian national.

FIELD: For some city, still synonymous with Mother Teresa. Although the catholic population here is tiny. Among the many Hindus who lived in Kolkata, a catholic canonization is likely to be considered just a piece of her legacy.

CHACHARGI: Most of the people who know what it means to be a saint, it doesn't really matter. If she is recognized, her service is being recognized, a lot of people will feel happy.

FIELD: Her house here is still filled with her missionaries and her friends.

TRAKABURDE: We love mother. We will love mother. And we will stay with mother like before.

FIELD: 19 years after her death, they believe they're carrying out her work in Kolkata. Alexandra Fields, CNN.

(END VIDEOTAPE)

ALLEN: And again, she will be canonized on Sunday.

Nine days after an earthquake leveled entire towns in Central Italy. Firefighters pulled a golden retriever named Romeo from the rubble. His owners hadn't given up hope. He was alive when they went to try to get things from their damaged home, they called his name and sure enough, he barked.

After the rescue and the ordeal nine days trapped under that rubble, Romeo, indeed wagged his tail. One lucky pup.

Thanks for watching CNN NEWSROOM. Mother Teresa, the road to sainthood is coming next after our top stories.

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