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NEWS STREAM

Dozens Missing After Deadly Quake Hits Taiwan; Final Preparations Being Made Ahead Of Winter Games; North Korea And U.S. Bring Spy Games To Pyeongchang; North Korea Accused Of Lucrative Internet Heist; Kelly: Some DREAMers Who Didn't Sign Propaganda, Too Lazy; Stock Market Seas Are Calm But Storm Isn't Over; Idea Prompts Calls For Equal Opportunity To Crunch. Aired at 8-9a ET

Aired February 07, 2018 - 08:00   ET

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

[08:00:00] (COMMERCIAL BREAK)

KRISTIE LU STOUT, CNN ANCHOR: I'm Kristie Lu Stout in Hong Kong and welcome to News Stream.

(BEGIN VIDEO CLIP)

LU STOUT: Earthquake aftermath. Dozens of people still missing in collapsed buildings after that 6.4 magnitude quake rocks Hualien, Taiwan.

More U.S. sanctions of North Korea -- U.S. Vice President Mike Pence says that they will be the most aggressive yet, as he travels to South Korea for

the Winter Games. And schools are shut in Hong Kong as this diseases and flu outbreak claims more than 100 lives.

(END VIDEO CLIP)

LU STOUT: Dramatic scenes of devastation in Taiwan after that major earthquake. Emergency workers are facing a dangerous race against time

after a 6.4 magnitude quake hit just of the northeastern coast on Tuesday. At least seven people are dead.

Rescuers are scrambling to find dozens of missing people. Workers, they had to use cranes and beams to shore up a complex in the city of Hualien.

Several people are believed to be trapped inside that teetering building.

Alexandra Field is en route to the city. She joins us on the line with the very latest from Taiwan. And, Alex, it's now nightfall there. Is the

rescue effort still underway?

ALEXANDRA FIELD, CNN CORRESPONDENT (via phone): Yes, absolutely, Kristie. And there are literally hundreds of rescue personnel who are on the

streets, trying to find people who are still missing at this point unaccounted for. And the risk is not over, because or at this point,

unaccounted for.

And the rescue is not over because people here in Taiwan have been experiencing dozens of aftershocks in the aftermath of this 6.4 magnitude

quake. That, on top of days of quakes right here in Taiwan, this one certainly the biggest.

And you can see the damage that was felt here into the place that is well prepared for earthquakes. But just take a look at that image on your

screen, that building that is tilted on its side, being held up by those beams.

That is a residential building. There's also an inn inside that building and it's where some of missing are believed to be. And we have dozens of

people who are still unaccounted for and they may be inside that building. That's why it is the focus of the search and rescue effort right now.

In total, we know that four building collapsed as a result of the 6.4 magnitude quake that hit in the middle of the night. Two of them were city

buildings. You have got the building that you're looking at and there was also a hotel, Kristie.

And that's where a lot of the injuries were concentrated. There was also one death that was reported at that hotel -- the Marshal Hotel. At this

point, we have learned from authorities that six people have been killed as a result of the earthquake, more than 200 injured.

Hundreds have been rescued, but certainly difficult conditions on the ground right now. Those who have had damage to their homes, those who are

without power or water still have to take shelter in a stadium.

And also, people are jus trying to brace themselves for anymore aftershocks that could be coming. This was something that was felt so strongly that we

spoke to somebody who was 15 kilometers outside the city.

He said he had never experienced an earthquake like this in his 17 years in Taiwan. It jolted him awake in the night, and said he scrambled to get his

family into the safety of their car. And with the constant aftershocks, he said that he's only comfortable putting his family in a tent this evening,

in an open space.

People are certainly taking this seriously, as search and rescue crews are on the streets trying locate those who were still missing and, Kristie, you

can see it from the look of what's screen, it's complicated to get inside that building.

It's complicated to reach those who are in there because of the extent to which that building is tilted. They are trying to hold it up. But these

are dangerous conditions to work in. We have heard from those who got out of the building that it's been a long process for rescuers to reach them

inside. Kristie.

LU STOUT: Alex, this was a 6.4 magnitude earthquake that hit Taiwan in the middle of the night. Its tremors felt all over Hualien County, even felt

in Taipei, as well, creating these dangerous conditions that we see on the screen. Just how prepared are authorities in Taiwan for an earthquake of

this size and to respond to a disaster like this?

FIELD: Look, with again, they are prepared because this is something that they experience routinely. And it is something that they've been

experiencing for a few days now. That's how long these quakes have been going on.

Certainly, the 6.4 was the largest. It created the most damage. But authorities were ready to react nearly as soon as it happened.

We had a tweet from the president of Taiwan, who was urging people to stay safe and assuring them that govern the agencies and the arm forces had been

deployed to help out, and all of them to start those search and rescue operations.

All of the witnesses that we supposedly say that, yes, they are used to these quakes here. There was certainly a big one or one this size, just

two years ago that killed some 40 people.

So people here are always prepared for something like this to happen but the feeling of waking up in the middle of the night to something like this

is just something that really -- that really have to send a jolt through your body.

And that's what we've heard from so many people. You have mentioned that this tremor was felt before at Taipei. That is just a 120 kilometers away.

And there were some people who said that was really a sustained trembling and shaking that was enough to jolt them awake.

[08:05:00] That should give you some idea. It's really the impact that was felt throughout this region, Kristie.

LU STOUT: Certain shock through the region and few more tremors to come. Alexandra Field reporting live on the line from Taiwan, thank you.

Now, the U.S. Vice President Mike Pence is in Tokyo, where earlier today, he met with the Japanese prime minister ahead of his trip to South Korea

for the Olympics.

Now, Pence, assured Shinzo Abe that the U.S. stands shoulder to shoulder with its allies against North Korea. And he said, the pressure is on

Pyongyang.

(BEGIN VIDEO CLIP)

MIKE PENCE, VICE PRESIDENT OF THE UNITED STATES: I am announcing today that the United States of America will soon unveil the toughest and most

aggressive round of economic sanctions on North Korea, ever. And we will continue to isolate North Korea until it abandons its nuclear and ballistic

missile program once and for all.

(END VIDEO CLIP)

LU STOUT: Pence is set to attend the opening ceremony in Pyeongchang on Friday. And we're hearing that North Korea plans to send a member of its

ruling family to the games as well. Ivan Watson joins us live from Pyeongchang with more. And, Ivan, how significant is it that the sister of

Kim Jong-un will be there at the games?

IVAN WATSON, CNN CORRESPONDENT: It's a big deal, because this will be the first member of the ruling Kim dynasty to ever travel south of the

demilitarized zone to visit South Korea. That is in itself, a big deal.

She is the sister of the current leader, Kim Jong-un. She is a member of the Politburo. She has been prometed to other positions in recent years.

And notably, she was -- she was put on, essentially, a black list of sanctions by the U.S. Treasury Department in January of 2017, where any of

the people listed there, if the U.S. could get their hand on them, would have had their assets frozen.

She will be joining what is already an enormous delegation from North Korea that is already on the ground here in South Korea. That includes more than

a 100 members of an orchestra that will be performing tomorrow.

It is first of two concerts, that includes more than 200 cheerleaders, members of a taekwondo demonstration team, and includes some 22 athletes

who will be completing in the game.

And keep in mind that all of this -- this decision to invite all of these North Koreans was really only reached in a flurry of diplomacy in just the

last few weeks. The Blue House, basically, the spokespeople for the South Korean president, they have said that they will do their best to welcome

this high-level delegation, Kristie.

LU STOUT: Yes, members of the high-level delegation from athletes to the cultural troop en route to Pyeongchang, if not, already there. They're

part of this North Korean charm offensive. And countering that, we have the U.S. Vice President Mike Pence in the region with a very tough message.

WATSON: Yes, and it's one that he continues repeating, Kristie, at every stop on his way here to Pyeongchang, where he'll lead the U.S. delegation

at the opening ceremony of the Winter Olympics.

And his message of trying to continue isolating North Korea, trying to remind the world about its dismal human rights record, was bolstered by the

Japanese prime minister, who pointed out in his speech side by side with Vice President Pence, that Japan cannot expect any meaningful dialogue with

North Korea until it starts moving forward on disarming its arsenal of nuclear weapons. Take another listen to another excerpt of the U.S. Vice

President in his speech in Japan.

(BEGIN VIDEO CLIP)

PENCE: We will be there to cheer on our American athletes. But we'll also be there to stand with our allies and remind the world that North Korea is

the most tyrannical and oppressive regime on the planet.

We will not allow North Korean propaganda to hijack the message and imagery of the Olympic Games. We will not allow North Korea to hide behind the

Olympic banner, the reality that they enslave their people and threaten the wider region.

Let's keep in mind, Kristie, that in comments, in an earlier stop in Alaska, Vice President Pence made it clear that he was not ruling out the

possibility off talking to the North Koreans here at the up coming Winter Games, though he also made clear that the U.S. side had not requested any

meeting with the North Koreans. So that will be something to watch closely in the days ahead. Kristie.

LU STOUT: Absolutely. Ivan Watson reporting live from Pyeongchang, thank you. And while the eyes of the world will be on the Olympic athletes,

North Korea and U.S. operatives will be keeping a close eye on each other. Barbara Starr reports on the upcoming spy games.

(BEGIN VIDEOTAPE)

BARBARA STARR, CNN CORRESPONDENT: Signals being sent and deciphered at the highest level even before the Olympic Games in South Korea begin.

PENCE: With regard to any interaction with the North Korean delegation, I have not requested a meeting but we'll see what happens.

[08:10:05] REX TILLERSON, U.S. SECRETARY OF STATE: I think we'll just see. We'll see what happens.

STARR: A careful offer just in case the North Koreans are ready to talk. But behind the scenes, count on plenty of spy games at these Olympics.

PATRICK CRONIN, CENTER FOR A NEW AMERICAN SECURITY: It's going to be crowded with intelligence operatives not least from the North Korean team

who will be looking to make contacts, looking to put in place or make contact with sleeper agents.

STARR: The games will provide U.S. Intelligence personnel with an extraordinary opportunity to directly watch and approach North Korean

targets.

JOHN KIRBY, CNN MILITARY AND DIPLOMATIC ANALYST: Any time you're in close proximity to people, representatives of an adversarial nation it would be

foolish for intelligence agencies not to try to capitalize on that.

STARR: North Korea's first espionage priority, ensure there are no embarrassing defections during the games.

KIRBY: I think that they will try to take advantage of this opportunity. T here's no question. They'll also be spying on their own people.

STARR: But there will also be hidden high-tech spy tools. U.S. Navy submarines lurking offshore and aircraft overhead can monitor North Korean

communications.

U.S. Air Force AWACS aircraft can make certain only friendly aircraft are in the air. U.S. Special Operations Forces will be close by in case of

trouble. But for now, very public tit for tat goes on with no North Korean give on its weapons policy.

JU YONG CHOI, NORTH KOREAN DIPLOMAT: The U.S. who is not -- who is unhappy with this trend is seeking to intentionally elevate the situation by

deploying huge nuclear assets nearby the Korean Peninsula including nuclear aircraft killer (ph) strike groups.

ROBERT WOOD, U.S. AMBASSADOR TO CONFERENCE ON DISARMAMENT: The situation on the Korean Peninsula has not changed. The regime continues to --

continues to work on its ballistic missile and nuclear programs. This, what I would call charm offensive frankly is fooling no one.

STARR: For now the Trump administration is sticking to its hard line to North Korea, stop your weapons program. Barbara Starr, CNN, the Pentagon.

(END VIDEOTAPE)

LU STOUT: Now hearing in the case of 32 Russian athletes has been adjourned until Thursday. They are appealing to the Court of Arbitration

for Sport to life their doping ban, to make them eligible to compete in the Winter Olympics. A decision is expected late Thursday or on Friday

morning.

Meanwhile, Russia has started to deport North Korean workers inline with the latest U.N. Security Council resolution. It says, all of North Korean

workers must be sent home by December 2019, and that cut-off the source of income for Pyongyang.

It is estimated that there are 50,000 North Korea workers in Russia. Those diplomats say 80 percent of their wages is sent to North Korea. And

staying with North Korea, the country is once again be accused of cyber theft. Brian Todd reports on the global impact and how sophisticated the

country's hackers appear to be.

(BEGIN VIDEOTAPE)

BRIAN TODD, CNN CORRESPONDENT: North Korea is now being accused of a brazen and lucrative Internet heist likely committed by Kim Jong-un's

hackers.

A South Korean lawmaker greet by the country's intelligence service says North Korea stole millions of dollars in digital money last year, all from

South Korean exchanges.

A lawmaker says the attackers used a spearfishing method which analysts say was a clever way to pluck that money, known as crypto currency from

victims' electronic wallets.

JENNY JUN, CO-AUTHOR, NORTH KOREA'S CYBER OPERATIONS: They used actual credential of real existing people to fabricate a job application. Using

the method, these crypto currency exchanges are booming in South Korea right now and that they're hiring a lot of new employees.

TODD: By most accounts, North Korean hackers are now in overdrive becoming much more aggressive in recent months and over the last few years, growing

more sophisticated.

YAYA FANUSIE, DIRECTOR OF ANALYSIS, FOUNDATION FOR DEFENSE OF DEMOCRACIES: They improved drastically, if you go back to the Sony hack a few years ago,

if you go back to the WannaCry ransom were hack last year, which was worldwide. Even if it didn't get a lot of money, it caused a lot of havoc.

TODD: The WannaCry hack in May of last year was the biggest cyber attack the world has ever seen. Hundreds of thousands of computers around the

world in about 150 countries were targeted. Businesses, homes, hospitals were hit, even parts of Britain's National Health Service were crippled,

putting lives at risk.

The U.S. government placed the blame for the WannaCry assault, squarely on the shoulders of Kim Jong-un's army of hackers. Experts believe he's got

more than 6,000 of them. Most of them working for North Korea's top intelligence agency. They stole on hundreds of millions of dollars from

banks around the world.

DANIEL RUSSEL FORMER U.S. ASSISTANT SECRETARY OF STATE FOR ASIA: that money is used in turn by the regime for its various purposes for the

nuclear program, for missile program.

[08:15:00] TODD: A key question now, what are the options for the U.S., South Korea and their allies to retaliate against Kim's hackers?

JASON HEALEY, SENIOR RESEARCH SCHOLAR, COLUMBIA UNIVERSITY: One is trying to disrupt North Korean offense of operations inside cyberspace and there

have been some reporting today that they had been doing this -- that the been getting into the North Korean offense of operations and trying them,

trying to foil those attacks.

TODD: What are Kim Jong-un's next big hacking targets? Analysts say, he could go after U.S. or South Korean military installations but those are

fairly well protected in cyberspace.

Most likely they say is, hackers will keep targeting banks and crypto currency exchanges. There are fast and easy way for Kim to get cash and

they allow him to achieve another one of his goals, causing panic among his enemies. Brian Todd, CNN, Washington.

(END VIDEOTAPE)

LU STOUT: The lawyer for Jerry Lee, the former CIA officer, accused of stashing top-secret information, says his client is not a Chinese spy.

Lee, a 13-year veteran of the agency was arrested last month charged with unlawful detention of national defense information.

He is a naturalized U.S. citizen and a resident of Hong Kong. A government attorney said he should remain in detention because he is a flight risk.

His arrest kept in investigation dating back to 2012, two years after the CIA began with informants in China. He faces up to 10 years in prison if

convicted.

You are watching News Stream. Still ahead, President Trump wants, a grand military parade, just like the one he attended last summer in Paris, but

will the Pentagon agree to this request.

Plus, global markets are breathing kind of a sign of relief where analyst say the Dow could be informed another wild ride, where investors around the

world need to know, next.

(COMMERCIAL BREAK)

LU STOUT: Coming to you live from Hong Kong. Welcome back. This is News Stream. Now in Washington, Democrats and Republicans appear to be inching

closer to a budget deal but controversial remarks made by President Trump and his chief of staff are not helping efforts to reach a compromise when

it comes immigration. Abby Phillip reports.

(BEGIN VIDEOTAPE)

DONALD TRUMP, PRESIDENT OF THE UNITED STATES: If we don't change it, let's have a shutdown. We will do a shutdown and it's worth it for our country.

I would love to see a shutdown if we don't get this stuff taken care of.

ABBY PHILLIP, CNN CORRESPONDENT: President Trump calling for another shutdown if Democrats don't agree to his immigration demands, despite the

fact that at the same time, Senate negotiators were touting bipartisan progress on a budget deal.

SEN. MITCH MCCONNELL (R), MAJORITY LEADER: I'm optimistic that very soon we'll be able to reach an agreement.

SEN. CHUCK SCHUMER (D), MINORITY LEADER: We are closer to an agreement than we have ever been.

PHILLIP: The Senate budget negotiations do include immigration overhaul, a longtime Republican goal. The Senate's two year includes a boost in

defense spending, alongside additional domestic spending the Democrats have been calling for.

[08:20:02] Press secretary Sarah Sanders left to clean up the president's remarks.

SARAH HUCKABEE SANDERS, WHITE HOUSE PRESS SECRETARY: I don't think that we expect the budget deal to include specifics on immigration reform, but we

want to get a deal on that. As we've said, we don't want to hold the government hostage over these items.

PHILLIP: Late Tuesday, Senator Lindsey Graham also indicating the Senate may be making progress on immigration.

SEN. LINDSEY GRAHAM (R), SOUTH CAROLINA: I felt really bad yesterday. I feel better today. People are -- I think we've got a way forward that

seems to be fair to everybody. We're back in the ball game now.

PHILLIP: This effort coming amid backlash over these remarks from the president's chief of staff about undocumented immigrants who did not sign

up for President Obama's DREAMer program but would be given a potential path to citizenship under the administration's proposal.

JOHN KELLY, WHITE HOUSE CHIEF OF STAFF: The difference between 690 and the 1.8 million were the people that some would say were too afraid to sign up,

others would say were too lazy to get off their asses, but they didn't sign up.

JIM ACOSTA, CNN CHIEF WHITE HOUSE CORRESPONDENT: It's just an offensive comment, though, isn't it? Just on its surface?

SANDERS: I think that's something you would have to decide for yourself.

PHILLIP: Kelly later doubling down after Democrat Steny Hoyer reportedly pushed back against his remarks in a closed-door meeting. Kelly, also

telling reporters that the president is not leaning one way or another about releasing the Democratic rebuttal to the GOP memo alleging FBI

surveillance abuses.

KELLY: This is a different memo than the first one. It's lengthier. It's -- well, it's different. It will be done in a responsible way. But again,

it's -- where the first one was very clean relative to sources and methods, my initial cut is this one, who is lot less clean.

PHILLIP: Kelly adding that ultimately, the president is waiting for a recommendation from the deputy attorney general, Rod Rosenstein, and FBI

head Christopher Wray, even though he ignored their concerns about the Republican memo last week.

The back and forth coming as CNN learns that President Trump remains eager to speak with Special Counsel Robert Mueller's team, despite concerns from

his lawyers.

The president is also eager to hold a grand military parade in Washington after praising France's Bastille Day celebration last year.

TRUMP: It was one of the greatest parades I've ever seen.

PHILLIP: The Pentagon confirms the president's request but stresses that the planning process is in its infancy.

(END VIDEOTAPE)

LU STOUT: And that was CNN's Abby Phillip, reporting. And moments ago, we have learned this, initial planning for that military parade is now

underway by the U.S. military, that has been confirmed to CNN by the chairman of the Joint Chiefs of Staff.

And a senior defense official adds that one should be considered is to halt the parade in November in conjunction with the 100 anniversary of the

ending of World War I.

Now German Chancellor Angela Merkel is a step closer to forming a government. The center-left social Democrats say that they have reached a

deal with Merkel's conservatives to create another grand coalition.

If approved by the social Democrat's 460,000 members, it would end months of uncertainties since the last election. It leaves the right wing

alternative for Germany Party as the main opposition.

And we are tracking European markets this hour just to see how they're faring after Tuesday's dismal trading day. But now in recovery mode after

posting modest gains in early trade, and right now, it looks like the FTSE are in the green, kind of making gains up to around one percent.

Now, it's all fall in the mix picture here in Asia, Tokyo and Sydney ended higher, the rest you could see, Hong Kong Hang Seng, and the Shanghai

Composite, both in the red. And this all comes in the wake of the Dow, having its biggest ever single day point loss in history.

Some analysts say Wall Street could be in for another bumpy ride. Now, let's bring in Isa Soares. She joins us live from London. Isa, mix

picture in some parts of the world has a sense of calm return to global market.

ISA SOARES, CNN CORRESPONDENT: Hi, Kristie. A degree, Europe, comes, especially if you are looking at those European markets, not saying like

the durations we saw in Asia and Europe in the last 24 hours.

But let's not stop popping the champagne bottle just yet, because the fundamentals of the U.S. haven't change, this concern that the interest

rates of the consent inflation will raise the concerns that the Fed will have to raise interest rates.

That is still there. So the problem perhaps -- the problem many ways hasn't gone away. So is the calm before the storm? That's what many

people are asking.

Let's just look at the European markets because they are making a bit of a recovery but still not making a big enough recovery from those gains --

from those loses in the last 24 hours to 48 hours. If we can bring the markets up, the FTSE was up, doing quite well this hour.

The Xetra DAX in particular on the back of the news, the coalition has been agreed temporarily at least in Germany. There you go, almost one percent,

Paris also doing well as your account for my doing well, as the (Inaudible).

Xetra DAX doing well but there are concerns, of course, about this coalition. He will get what party of course will get the key ministries in

particular, the finance ministries, Kristie. But of course, when I have been speaking to traders in nearly out this morning, they warned me about

the next 24 hours to 48 hours.

[08:25:05] And let's not get ahead of ourselves. The word they have been using is caution -- caution, for events that what may happen in the U.S.

And if we look at the U.S. market, their future, the last time I look within 150 points, if we can bring the Dow futures up.

It's expected to be -- there you go. Also, 100 or so points, almost half of percent were negative (Inaudible), right across the board in the U.S.

So, I think the answer really is, buckle up. It could be a rock and roll day in the stock markets. Kristie.

LU STOUT: Yes, and with all those red arrows there, it doesn't look like the sell-off is over just yet all. And all eyes on the Fed. I mean does

it need to move aggressively?

SOARES Well this is the thing, and we haven't heard from the Fed. I think acting is why so many investors, and so many people will be keen to see

what the Fed will say today. We are expecting some comments from the Fed, later on today in particular about how they interpret these markets -- the

stock markets' gyration.

We are also expecting to hear today and tomorrow of course from the Bank of England, Mark Carney, who is also getting his own interpretation of what

may happen.

But this is -- this is what everyone have been listening to, because while, the market has somewhat shifted and gone up and down in these huge swings,

the fundamentals haven't changed at all. And so, they are looking for signals that perhaps the Fed may move.

And if so, how soon, how quickly will it do so. You know, hearing Europe, Kristie, it's very different because some people may be scratching their

heads and wondering, OK, so if fundamentals haven't change, why is Europe backing the trend in many ways, why is Europe popping green arrows?

That is because the fundamentals are strike and tell you, we have some strong data out of Europe today in terms of GDP. I think we have got the

numbers here in front of me, came in the last hour and a half or so.

The economy is expected to grow to 2.3 percent -- in 2018 and two percent in 2019, and Germany, the Europe's biggest economy, expected to grow by 2.7

percent this year.

So that is the reason why we haven't seen this huge market shift -- stock market shift here in Europe, because the Europe in many ways is (Inaudible)

saying look, this is not our problem which is reacting to what's happening in U.S. Kristie.

LU STOUT: And that's why caution is still needed. Isa Soares, reporting live for us in London. Thank you so much. Take care. Now the casino

mogul, Steve Wynn -- he has stepped down as CEO and chairman of Wynn Resorts.

Now the company and Wynn are facing waves of negative publicity after the Wall Street Journal detailed allegations of sexual misconduct against Wynn.

That report affects in the company stopped tumbling, and Wynn, denies the accusations.

Now, they are a Super Bowl staple but the boss of the company makes Doritos, thinks the snack might be too manly. PepsiCo CEO, Indra Nooyi

said that her firm is developing line seemed to women. So, is there really a battle of the sexes over bag of chips? Well, here is Jeanne Moos.

(BEGIN VIDEOTAPE)

JEANNE MOOS, CNN CORRESPONDENT: Let the chips fall where they may. Lady Doritos?

UNIDENTIFIED FEMALE: I think I'm going to eat the crunchiest, messiest Doritos I want and enjoy the hell out of it.

MOOS: Sounds like she has a chip on her shoulder after the CEO of PepsiCo suggested her company was developing chips for her because men eat Doritos

differently from women.

INDRA NOOYI, PEPSICO CEO: Men a little bit lick their fingers with great glee.

MOOS: And guys like to tip back the bag. Yes, men like to be macho with their nachos. While women...

NOOYI: They don't like to crunch too loudly in public. They don't lick their fingers generously.

MOOS: Tell that to this former Ms. Australia.

UNIDENTIFIED FEMALE: I definitely lick my fingers after. I love it.

MOOS: Even in network morning show host couldn't resist.

UNIDENTIFIED FEMALE: No, I do not want a silent chip.

UNIDENTIFIED FEMALE: No, I love a loud crunch.

UNIDENTIFIED MALE: Because there is no more appropriate snack for the #MeToo era than a chip that tells women to be quiet.

MOOS: The only quiet chips are stale chips, tweeted model Chrissy Teigen. Read another comment, my generation mark so future generations of women

could enjoy lady Doritos.

UNIDENTIFIED FEMALE: Go tell (Inaudible) and Susan B. Anthony, they can finally rest in peace.

UNIDENTIFIED FEMALE: Sing it, sister.

MOOS: Though PepsiCo CEO promised snacks designed and packaged for women would launch soon, the company said, we already have Doritos for women,

they're called Doritos. Some men stood up for women's right to crunch.

UNIDENTIFIED MALE: Just as loudly and obnoxiously as men do.

MOOS: But there are worst things that eating low crunch ladies chips...

UNIDENTIFIED FEMALE: Oh my God, did you just eat that?

UNIDENTIFIED FEMALE: Relax.

UNIDENTIFIED FEMALE: Axel (ph) put his toenails in the chip bag.

UNIDENTIFIED FEMALE: You just ate Axel's (ph) toenails.

MOOS: We did one crunchy Doritos fan, can we just get quiet bags instead? Jeanne Moos -- and licking your fingers is cool?

UNIDENTIFIED FEMALE: If I am at home.

MOOS: CNN, New York.

(END VIDEO CLIP)

KRISTIE LU STOUT, CNN NEWS STREAM SHOW HOST: (INAUDIBLE) and be proud, ladies. You're watching "News Stream." And still to come, hundred of

thousands of school kids here in Hong Kong get to start their lunar new year holidays early, but the reason for the early holiday has a lot of

people concerned. We got the details, next.

(COMMERCIAL BREAK)

LU STOUT: I'm Kristie Lu Stout in Hong Kong. You're watching "News Stream" and these are your world headlines.

Authorities now say six people have been killed in a 6.4 magnitude quake that struck Taiwan on Tuesday. Rescuers are trying to get to dozens of

people who are believed to be trapped inside damaged buildings. More than 250 people are injured.

U.S. Vice President Mike Pence says United States will soon unveil its toughest sanctions on North Korea. He is speaking in Tokyo with the

Japanese Prime Minister Shinzo Abe. Pence reassured Japan that the U.S. stands with its allies against any threat from North Korea.

South Korea says Kim Jong-un's sister will be part of the North Korean delegation at the Winter Games. Kim Yo-jong will be the first member of

North Korea's ruling family to visit the south. She is said to be a close advisor to her brother.

European markets are in recovery mode after Tuesday's volatile day of trade. They have posted, as you can see, some modest gains with benchmark

indexes. London, Paris, Frankfurt are rising. Markets here in Asia were mixed.

An increasingly rare move. Schools across Hong Kong will be off for lunar new year earlier. And it's over concern of spread of influenza. The

government says kindergarten, child care centers, primary and special schools will be closed starting February 8th.

Earlier, I spoke with Lep Poon, a molecular biologist at Hong Kong University School of Public Health. And I asked him whether he thought it

was a good idea to close schools.

(BEGIN VIDEOTAPE)

LEO POON, MOLECULAR BIOLOGIST, HONG KONG UNIVERSITY SCHOOL OF PUBLIC HEALTH: About more than 300 schools have been affected by influenza B

outbreak, and so I think that is actually a sensible way to protect our children. We are going to have a holiday for the Chinese new year and so we

will have a break earlier.

LU STOUT (on camera): This outbreak of course is not just happening here in Hong Kong. It is happening in many places all across the world. Should

other cities consider doing the same thing?

POON: I mean, the (INAUDIBLE) Hong Kong having outbreak of flu B but then in other countries like U.S., they have (INAUDIBLE) outbreak so the

interests are actually different.

[08:35:00] But, anyway, with the same principle, (INAUDIBLE) is known to prevent or reduce the risk of having a transmission between students. I

mean, it depends on how bad it is. I mean, Hong Kong will be bad enough to actually bring us to stop having close the school. But for that country,

they may consider this as an option.

LU STOUT: How deadly are these latest strains of flu that are out there?

POON: We should not say that this is deadly, but then we just talk about the extend, I mean, how many people get infected? Here, actually 300

schools have been affected or known to have outbreaks. And so that means many students have been infected.

Given a very mild virus, they could actually kill some children. So, I think we are talking about the number of people getting infected. And if

that number then, of course, we will have many more cases which may be end up in mortality.

LU STOUT: I understand that we want to focus on the number of infections, but still, here in Hong Kong, more than 120 people have died because of

this current outbreak of flu. What is making this strain so deadly?

POON: Well, I mean, I have to be honest with you. We don't know. I mean, we do not know why this season has been so bad for us. We need an

investigation. For sure, many people get infected and then many people get superior outcome.

LU STOUT: Walk us through the warning signs. Having forbid, a member of your family was to get the flu, at what point should we get worried? At

what point you should contact a doctor?

POON: I think as long as you have some flu-like symptoms, any malaise, headache, fever, particularly high fever, they should try to seek for

medical consultation as soon as possible. There are rapid tests available.

We can tell whether these -- the kids actually have been infected by influenza "A" or "B" viruses. And then it depends on the chemical symptoms.

The doctor may actually give them an antiviral, like (INAUDIBLE), which can help them to be covered, have less chance to develop complications.

LU STOUT: And the ongoing debate about flu vaccine. Should we always take them every year?

POON: I would recommend that because so far, this is one of the most effective way to control ignorance of ours. Of course, I mean, the

protection rate is not 100 percent. But I think this is still the -- one of the very good options to protect us from influenza virus infection, in

particular, at least try to avoid having a serious complication because of flu.

I feel -- people get vaccinated, in particular for the young kids and elderly. Myself had been vaccinated as well.

(END VIDEOTAPE)

LU STOUT: The (INAUDIBLE) flu shots are effective. Professor Leo Poon of Hong Kong University School of Public Health there.

You're watching "News Stream." India's cool roofs initiative is helping the most vulnerable during the scorching summer months. The simple solution not

only keeps things cool, it also saves lives.

[08:40:00] (COMMERCIAL BREAK)

LU STOUT: Coming to you live from Hong Kong. Welcome back. This is "News Stream."

Now, let's show you something new from China. This is the world's first passenger drone. It's taking someone for a spin around Guangzhou. The

passenger is not piloting the drone. It's being controlled by an automated system. The company says it can carry a single person weighing up to 100

kilos for around 23 minutes.

Now, summer temperatures in India often exceed a sweltering 40 degrees Celsius. And now the city of Ahmedabad is turning to some simple solutions

to keep buildings cool. Matt Rivers reports.

(BEGIN VIDEOTAPE)

MATT RIVERS, CNN INTERNATIONAL CORRESPONDENT (voice over): Sunray is torching metal sheet roofs, turning shelters into ovens. Environmental

advocates say like most of western India, Ahmedabad is reeling from the effects of climate change.

ANJALI JAISWAL, SENIOR DIRECTOR, NRDC: Climate change will make things inconvenient for the rich, the poor will die. That doesn't have to be the

case because there are low-cost solutions.

RIVERS (voice over): Anjali Jaiswal is the senior director of the India Initiative at the Natural Resources Defense Council or the NRDC. She

explains how lethal the summer of 2010 was for (INAUDIBLE) Hospital in Ahmedabad.

JAISWAL: There was a devastating heatwave. Temperatures spiked up to 46 degrees Centigrade, 116 Fahrenheit. And the hospitals were inundated. And

that inside were oven-like conditions and resulted to death of infants, of babies during that time.

RIVERS (voice over): More than 1,300 lives were claimed during that fatal heatwave and the city of Ahmedabad said, enough is enough.

(INAUDIBLE) is one of the key architects of the pioneering heat action plant, the city's ongoing effort to reduce heat-related deaths. Vital part

of that plan is the cool roof concept.

UNIDENTIFIED MALE: We, with help of NRDC, developed and learned from other cities and places that tall buildings can be modified.

RIVERS (voice over): Like modifying the (INAUDIBLE) Hospital's black tar roof to this white reflective mosaic roof. Jaiswal says that these roofs

are making a huge difference by reflecting as much as 80 percent of the sunlight.

For people like (INAUDIBLE), the solution came from mud roof, weather-proof panel made from recycled materials.

UNIDENTIFIED FEMALE (through translator): Before when we had a thin roof, it was very difficult. During the summer season, there were health

problems. My husband will have trouble breathing. Now being installed the roof, it's cooler and my husband can rest easily.

RIVERS (voice over): Whether it's a low-cost modification or the installation of a new structure, simple solutions with the potential to

save lives, protecting those most vulnerable from the harmful effects of climate change.

Matt Rivers, CNN.

(END VIDEOTAPE)

LU STOUT: And that is "News Stream." I'm Kristie Lu Stout, but don't go anywhere, "World Sport" with Alex Thomas is next.

(COMMERCIAL BREAK)

[08:45:00] (WORLD SPORT)

END