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Early Start with John Berman and Zoraida Sambolin

Hurricane Michael Slams Into Florida As Category Four; Cajun Navy Joins Citizen Rescues In Florida; Astronauts Survive Soyuz Rocket Emergency Landing; Trump On Khashoggi: "This Is A Bad Situation"; Dow Plummets 800+ Points In Worst Drop In Months. Aired 5:30-6a ET

Aired October 11, 2018 - 05:30   ET

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

(COMMERCIAL BREAK)

[05:32:50] DAVE BRIGGS, CNN ANCHOR: A deadly storm dropping devastating rain on Georgia after tearing through the Florida Panhandle. Two people killed, including one child. Where the storm is headed next.

CHRISTINE ROMANS, CNN ANCHOR: The Dow plunging more than 800 points and the pain spreads to markets around the world. More losses in store this morning. And guess who President Trump blames for the drop?

BRIGGS: And growing pressure on Saudi Arabia this morning to explain the disappearance of a "Washington Post" journalist. One senator warning significant wrath from the United States. We're live in Istanbul.

ROMANS: All right, welcome back to EARLY START this morning. I'm Christine Romans.

BRIGGS: Good morning -- good morning to all of you. I'm Dave Briggs -- 5:33 eastern time.

We start with our breaking news this morning. Hurricane Michael now tearing its way across Georgia, severely downgraded, heading for South Carolina. It's still, though, a very dangerous tropical storm.

At this hour, officials in three states say more than half a million people are without power. Nearly 6,700 people still in shelters.

Two people died in separate incidents. A Florida man and an 11-year- old boy in Georgia killed when trees fell on their homes.

No telling what first responders will find -- sunrise in about an hour. They are beginning to search through homes as conditions slowly improve.

ROMANS: Michael made landfall near Mexico Beach, Florida with winds in excess of 140 miles an hour. This stunning video -- look at that -- just in to CNN. You can see the sudden calm in the eye of the hurricane and that spectacularly defined eyewall.

The storm hit just shy of a category five -- enough to launch rooftops across the street. It was the strongest hurricane to hit the continental U.S. since Andrew in 1992; the strongest to hit the Panhandle in recorded history.

Michael leaving devastation in its wake. Check out this drone footage of a school gym in Panama City peeled back. Same story -- blown apart -- this nearby shopping mall which locals say was recently remodeled. And this boat warehouse in Niceville, Florida a total loss.

BRIGGS: Power lines and transformers down across the region. It could be weeks before power is restored everywhere.

But for proof of this awesome power look at this -- a train blown completely off the rails in Panama City. Just amazing the power of this storm. A 5-foot storm surge there in Panama Beach.

[05:35:12] CNN's Derek Van Dam was in the thick of it all. He joins us live from Apalachicola, where the storm surge was eight feet. Derek, good morning.

DEREK VAN DAM, AMS METEOROLOGIST: Yes, good morning, Dave.

Yesterday, we were reporting live during the peak of Hurricane Michael as it was making landfall and the storm surge that came up so abruptly was one of the most incredible experiences for me as a meteorologist -- as a reporter as well.

We saw a submerged vehicle -- a submerged truck during our live shot and that very truck has been picked up about three blocks as the storm surge receded and deposited right behind me. You can see the vehicle. You can see all the debris underneath the truck as well. Just showing you that that is a complete write-off, probably one of thousands of vehicles that are going to be written off due to storm surge, and flooding, and inundation.

But check out what seven to eight feet of storm surge can do. I can take full semi trucks and flip them on their sides as well, just like the one behind me. We've got debris just strewn across this area.

We are near the Apalachicola River and this is a fishing region. A fishing industry lines this particular area. And there are literally high-water level marks behind me that show the water levels that got up well past my chest and my waist.

So it was a difficult day for Apalachicola.

Electricity and communication still out in this area and it's very difficult to navigate the roads because there are snapped power lines -- snapped power poles, I should say. Trees were toppled over roadways. It's going to be days if not weeks before the clean-up and restoration to normalcy is brought back to this area -- Dave.

ROMANS: Oh, yes. All right, thanks so much for that, Derek.

You know, Michael, a direct hit on Panama City, packing 155 mile an hour winds there.

CNN's Dianne Gallagher is in Panama City Beach with the latest -- Dianne.

DIANNE GALLAGHER, CNN CORRESPONDENT: Yes, Christine. I mean, you cannot understate or even overstate just how significant the damage is here in Panama City.

Derek talking about all the water there. Well, here in Panama City, as you can see just from sort of the state of this Firestone building here, it is about the wind, and this is not an uncommon sight.

The sun has not come up yet but I can tell you that on our drive here -- we're on 15th Street. On our drive here power lines were everywhere, trees snapped like toothpicks.

There are entire brick walls if you look at them, just still some of them full, just brought down. Bricks are everywhere. There are tires that are still on a wall in here that is only partially up.

And again, this is not an uncommon sight. Just about every lot on some of these streets in Panama City you see structures like this. Some of them are schools. You've got churches, gas stations, businesses, people's homes.

And because the sun hasn't come up yet we don't really have a good grasp of just how extensive the damage is except for -- to tell you that it's bad. It's really bad.

Now, I can tell you that we have seen Bay County emergency officials and those other agencies from surrounding counties that have been out here patrolling, helping. They have already been out trying to cut trees down, free up roads, and get into homes where people have been trapped.

Again, once the sun comes up we should start seeing those power crews, Dave. We should start seeing efforts that the governor has staged to come and do recovery and restoration efforts.

BRIGGS: Oh, best of luck to all of them there.

ROMANS: I know. That's tough -- real tough there.

BRIGGS: Dianne, thank you.

OK.

Overnight, Michael punished Georgia with torrential rain and destructive winds. It arrived as a category three hurricane, weakened to a category one as it moved northeast across the state, making it the most powerful storm to hit the area in 120 years.

Meteorologist Pedram Javaheri tracking Michael live from the CNN Weather Center this morning as it moves into the Carolinas. Pedram, good morning.

PEDRAM JAVAHERI, AMS METEOROLOGIST: Good morning, Dave.

Yes, Michael is just moving into South Carolina in the last hour or so and still with it getting tropical storm-force winds -- sustained winds of 50 miles per hour, gusts up to 65 miles per hour. So we've seen that drop now with the gusts below hurricane thresholds.

So certainly improving conditions, at least when it comes to the winds across the region. But still, heavy rainfall in place.

We do have a tornado watch in place across the northern tier of the state of South Carolina. It does include parts of Myrtle Beach now here. So still seeing enough instability, enough rotation with the storm to spin a few tornados potentially as it moves up towards the north.

And heavy rainfall still expected through much of Thursday. But as we go our way towards, say, Thursday evening-Thursday overnight this system begins to move offshore. So a very quick moving system here. And the flood risk is certainly there but it's going to be quick- moving as well.

And with all that said, with a lot of rainfall on the ground, with a lot of gusty winds ahead of us here, still going to watch this region across the coastal areas, really from the Carolinas up towards Delmarva for a widespread risk of power outages, in addition to the half a million customers that are without power.

[05:40:05] And, of course, we know how quickly this storm intensified going in from a category one on Monday at 5:00 p.m. to Wednesday afternoon, a healthy category four just two miles per hour shy of what would be a category five.

And again, to put this in perspective, you look at 292 hurricanes that have made landfall in the United States since 1851. Only two other storms have been able to attain a minimum central pressure as high as -- as low as what Michael had upon landfall. So pretty impressive here to see how historic this storm became and how quickly it did so.

ROMANS: Yes, that was something. All right, Pedram. Thank you so much for that.

In many places, average citizens helping out in the rescue effort alongside official first responders. Leading the way, the Cajun Navy, as it has during rescues in the whole southeast region, all the way back to Katrina. A proud tradition of people helping their neighbors.

Joining us on Skype from New Orleans is Cajun Navy board member Scot Burchardt. Nice to -- nice to see you this morning.

Talk to us a little bit --

SCOT BURCHARDT, BOARD MEMBER, CAJUN NAVY (via Skype): Thank you.

ROMANS: -- about what you're expecting here. The sun's not up.

Officials are saying stay home. Don't be going out there poking around in debris around your house. But clearly, rescues are going to start to begin here. BURCHARDT: Yes. So apparently, right now, we have rescued over 100 people. We have close to 500 people on a call log that are waiting for some type of rescue, whether it be oxygen-related where generators are out.

But we have a story we can share. Overnight, we had a house that collapsed on a 94-year-old woman. Working together with first responders we were able to get her out of that house and to a local fire department where she was airlifted to a hospital.

ROMANS: Oh, terrific, that success story.

BRIGGS: Yes.

How do you find people that need rescuing? How do people reach out to you, and what's the biggest challenge regarding what you're seeing right now with Michael?

BURCHARDT: So, the first part of that question. CrowdSource Rescue is kind of a database that we use where people can go online. Also, through our Facebook page at unitedcajunnavy.com.

What's different about this storm based off of Harvey and based off of Florence is the amount of devastation that's caused by wind. The other two were mostly water and flood, and long-term flooding.

We're having a lot of issues making sure that our people that are on the ground -- which we have around 1,000 people there right now -- are safe being able to go through roads that are filled with debris and power lines.

ROMANS: Yes. I mean, this is -- this direct hit as a category four -- almost category five -- makes it a wind event, makes it a water event, makes it a flash flooding event. And then there's worries about downed power lines.

I mean, what are -- what are your folks on the ground saying?

BURCHARDT: Well, they are constantly struggling with downed power lines and ensuring that their safety is one number key.

Currently, right now, we're located throughout Panama City. We're located in Lynn Haven, Callaway, and all the way to the north into Valdosta, Georgia, so we have different situations per city.

BRIGGS: The Cajun Navy, Scot, represents the best of this country and Christine mentioned what you've done going back to Katrina, in particular, with Hurricane Harvey.

In just a moment, what are types of things that you need? How can people help you if they want to pitch in?

BURCHARDT: So, donations, baby food, water, right?

We have different areas that are being set up this morning. We were first based about an hour west. We're moving our operation closer. Those are the main things. There are people who need to survive right

now.

Monetary donations are always great. It helps with fuel costs. Anything that's donated goes to our 501(c)(3) so any help that citizens could give would be greatly appreciated.

ROMANS: Scot Burchardt, thanks for the work you guys are doing. Keep us posted.

And we're glad to hear that success story of the 94-year-old woman you guys got out of her home. Wonderful news there.

Thanks, Scot.

All right, President Trump is vowing to get to the bottom of what happened to that Saudi journalist who vanished in Istanbul more than a week ago. We are piecing together the time line leading up to his disappearance. We've got that next.

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[05:48:19] ROMANS: A NASA search and rescue mission is underway after what NASA calls a booster failure. NASA says the problem started with a booster failure following the launch of a Russian Soyuz spacecraft carrying NASA astronaut Nick Hague and Russian cosmonaut Alexey Ovchinin.

Now, the spacecraft landed -- launched, rather, from the Russian Cosmodrome in Kazakhstan. It was headed for the International Space Station.

NASA tweeting the following -- there's the launch.

"Search and rescue teams report they are in contact with the Soyuz crew, who report they are in good condition. The teams are en route to the landing site."

So again, this was a -- you know, a failed launch -- but then a failed launch and some sort of problem with the booster and these two men had to come back to earth. We're going to bring you latest on the story as it develops.

BRIGGS: Meanwhile, President Trump insists he will get to the bottom of Jamal Khashoggi's disappearance. That's the Saudi journalist who vanished after entering the Saudi consulate in Istanbul. He's been missing for more than a week now. Khashoggi, a resident of Virginia who wrote regularly for "The Washington Post".

The president claiming he has contacted the highest levels of the Saudi government to get answers.

(BEGIN VIDEO CLIP)

REPORTER: Do you hold the Saudi government responsible? DONALD TRUMP, PRESIDENT OF THE UNITED STATES: Well, I have to find out who did it. But people saw him go in but they didn't see him come out, as they understand it.

And we're going to take a very serious look at it. It's a terrible thing.

(END VIDEO CLIP)

BRIGGS: A bipartisan group of more than 20 senators sent a letter to President Trump Wednesday triggering an investigation into his disappearance.

Lindsey Graham saying, "If Saudi Arabia did it there will be hell to pay."

Nic Robertson with the latest, live from Istanbul.

[05:50:01] While Lindsey Graham said that, about three hours later, Nic, the president said if Saudi Arabia did it, "it would not be a good thing at all" -- an understatement of epic proportions.

What are the working theories right now?

NIC ROBERTSON, CNN INTERNATIONAL DIPLOMATIC EDITOR: Well, I think one of the working theories we can take away from having heard this from President Trump is how much the president of Turkey, Erdogan, has been waiting for President Trump to weigh in this because we've now just heard this morning from President Erdogan saying his strongest line so far.

He's been pretty quiet on this. It's been a drip, drip, drip to local media saying that Khashoggi was essentially trapped into coming to the consulate here. There was a hit squad waiting for him. That he killed him within a couple of hours of arriving there.

President Erdogan now, today, saying we cannot remain silent on this. This happened inside Turkey. This is not a normal occurrence.

So you have now the president of Turkey really beginning to take some ownership of the issue here. He says that his Foreign Ministry is continuing to work with the Saudis to get access to the consulate building here. Remember a couple of days ago the Saudis said yes, a Turkish investigation team could get in the building here, could begin to look around where they believe Jamal Khashoggi was killed.

So that is a bit of a scandal for the moment.

So really, President Trump weighing in on this seems to ratchet up the resolve of President Erdogan here. He doesn't want to be taking all this heat on Saudi Arabia by himself, so he's hoping President Trump will get even stronger on this.

BRIGGS: Imagine a world order Nic in which Recep Erdogan is going further to protect journalists than the President of the United States. We urge you to read Nic Robertson's piece on this on cnn.com. Great

reporting. Thank you.

ROMANS: All right, let's get a check on "CNN Business" this morning.

A brutal day on Wall Street. U.S. stocks suffered their biggest drop in months. All three indices lost at least three percent. The Dow plunged more than 800 points, its third-worst point decline in history.

The selling has now spread around the world. Shanghai down more than five percent. European stocks markets, they are lower.

U.S. futures suggest more selling today. Dow futures down about 260 points right now.

It started with tech stocks. Big names like Netflix, Amazon, Apple -- those three alone lost nearly $120 billion in market value.

It's been a rough October for stocks. Investors are worried about the U.S.-China trade war slowing growth next year and they're worried about higher interest rates. In fact, the president blames the Fed specifically for this, calling it "crazy" that they're raising interest rates.

All right.

A landmark health care merger is inches away from the finish line. The Justice Department approved CVS's plan to buy Aetna -- now it just needs a judge's approval. The $69 billion deal, the largest health insurance merger ever, will upend the health care industry.

CVS has 9,700 location. Aetna is one of the largest health insurers.

Now, advocacy groups worry that consolidation means less competition harming consumers, but regulators say the merger could cut health care costs and improve the quality of care.

BRIGGS: How could it lower prices in this country, which is a massive problem?

ROMANS: It's so -- I mean -- just, their scale. I mean, the point here is when you can figure out how you can have the health insurer working right with the drugstore chain, what kind of cost savings can they implement there. We'll have to see.

BRIGGS: What type of control they have over the industry.

ROMANS: We'll have to see, right.

BRIGGS: Ahead, Melania Trump weighing in on sexual misconduct allegations during this #MeToo movement.

(BEGIN VIDEO CLIP)

MELANIA TRUMP, FIRST LADY OF THE UNITED STATES: You need to have really hard evidence that, you know -- that if you are accused of something, show the evidence.

(END VIDEO CLIP)

BRIGGS: Also, President Trump poking at the movement again last night during a rally in Pennsylvania.

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[05:57:43] ROMANS: A New York man charged with building a 200-pound bomb in his basement. Police say 56-year-old Paul Rosenfeld planned to detonate it on Election Day on Washington's National Mall.

A series of letters and text messages show Rosenfeld intended to blow himself up to bring attention to a political ideology called sortition, which advocates the random selection of government officials instead of elections.

BRIGGS: President Trump taking a new bewildering swing at the #MeToo movement at a rally last night in Pennsylvania. He wanted to say the state was like the woman that got away for most Republicans until he won it in 2016 -- listen.

(BEGIN VIDEO CLIP)

D. TRUMP: I've used an expression. You know, there's an expression but under the rules of #MeToo I'm not allowed to use that expression anymore. I can't do it.

It's the person that got away. See, in the old days, it was a little different.

UNIDENTIFIED MALE: Do it anyway.

D. TRUMP: Pennsylvania -- he says do it anyway.

(END VIDEO CLIP)

ROMANS: All right. Just a few hours earlier, ABC released an interview with first lady Melania Trump. She offered this lukewarm endorsement of the #MeToo movement.

(BEGIN VIDEO CLIP)

M. TRUMP: I do stand with women but we need to -- we need to show the evidence. You cannot just say to somebody I was, you know, sexually assault and -- or he did that to me or -- because sometimes the media goes too far.

(END VIDEO CLIP)

ROMANS: During the 2016 campaign, at least 13 women accused Donald Trump of sexual misconduct.

BRIGGS: He's never afraid to say something politically incorrect, and this is totally fine to say.

ROMANS: The one that got away. I didn't know that that was a rule.

All right, thanks for joining us this morning. I'm Christine Romans.

BRIGGS: I'm Dave Briggs.

John Berman reporting from the eye of the storm and Alisyn Camerota here in New York. "NEW DAY" right now. We'll see you tomorrow.

ANNOUNCER: This is CNN breaking news.

JOHN BERMAN, CNN ANCHOR: All right, welcome to our viewers in the United States and all around the world. This is NEW DAY. It's Thursday, October 11th, 6:00 in the east.

And I am standing in the aftermath of Hurricane Michael. This is Panama City, Florida where this storm passed through a little bit east of here when the eye made landfall. It brought 155 mile per hour winds, two miles per hour short of a category five storm.

The most powerful storm ever to hit the Panhandle and one of the most powerful storms ever to make landfall in the United States.