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Early Start with John Berman and Zoraida Sambolin

Headache Headlines; Contraceptive Coverage; Passenger Flies With Gun On The Plane; White House Sought Plan To Strike Iran; White House Preparing For Long Shutdown; CNN Poll, Majority Blame Trump For Shutdown; Pompeo Meets Saudi Crown Prince. Aired 4-4:30a ET

Aired January 14, 2019 - 04:00   ET

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

[04:00:00] (COMMERCIAL BREAK)

DAVE BRIGGS, CNN HOST: A weekend full of stunning headlines. Was the President acting against American interests? Did he destroy notes from talks with Vladimir Putin? How the President responded.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: They have the vacation, but they don't have to use their vacation days. In some sense, they are better off.

(END VIDEO CLIP)

CHRISTINE ROMANS, CNN HOST: What? No paycheck, no problem? So says the Economic Adviser for the president, but the pain is growing for people coping with the government shutdown.

BRIGGS: No cuts in contraceptive coverage for women in more than a dozen states. A federal judge says the White House cannot weaken the Obamacare mandate.

ROMANS: And serious security questions after a passenger with a gun was allowed to fly.

Good morning. Welcome to "Early Start" everyone. I'm Christine Romans.

BRIGGS: I'm Dave Briggs on a grey Monday, January 14. Happy Monday, 4:00 a.m. in the East. Day 24 of that government shutdown. We start though with the president. Breaking news over the weekend and extraordinary stories, two of them with new revelations connected to the Russian Investigations.

The "Washington Post" reporting that the President went to extraordinary lengths to conceal details of his conversations with Russian President, Vladimir Putin. Among the unusual steps he took, confiscating his own interpreter's notes after 2017 meeting with Putin in Germany.

That report following another Russia related shocker in the "New York Times" that law enforcement officials were so concerned by the firing of then FBI Director James Comey, they began investigating whether the President was working on behalf of Russia. Trump was asked about that report on Fox News and did not exactly deny it.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Are you now or have you ever worked for Russia, Mr. President?

DONALD TRUMP, PRESIDENT OF THE UNITED STATES: I think it is the most insulting thing I've ever been asked. I think it is the most insulting article I've ever had written. And if you read the article, you'd see that they found absolutely nothing.

(END VIDEO CLIP)

ROMANS: Also, this weekend, the "Wall Street Journal" reporting that President Trump's National Security Council asked the Pentagon for military options to strike Iran. The request came last year after militants aligned with Tehran fired three mortars into Baghdad's diplomatic quarter, home to the U.S. Embassy.

And last night, the President tweeted sharp words for Turkey, threatening to devastate its economy if it attacks Kurds in Syria. But the president also seemed to give cover to Turkey if it does attack the Kurds, allies of the U.S.

A lot to talk about here. Let's bring in Senior International Correspondent, Fred Pleitgen live in Moscow for us. And Fred, on the reports of the President possibly working on behalf of Russia and concealing his discussions with Vladimir Putin, any reaction from Moscow yet?

FREDERIK PLEITGEN, CNN SENIOR INTERNATIONAL CORRESPONDENT: Hi, Christine and you're absolutely right, just a little bit of international news coming out of our region this morning. I can tell you that both of the reports, the New York Times report and Washington Post report, of course, an absolute feast for the Russians.

We've been watching Russian media all weekend. You look especially at the shows that are on yesterday, those Sunday talk shows that they have here, which usually rip into the U.S., well, they did that in double fashion yesterday taking swipes at America.

Now, the one entity that we haven't heard from yet is in fact the Kremlin. We don't have any reactions from them yet. They are probably waking up to this news right now and we do expect that we could get some reaction in the next couple of hours, possibly while we're still on the air. But of course, all of this very interesting here in Moscow.

You got that "New York Times" report that apparently law enforcement was so concerned about President Trump firing James Comey that they started that investigation. That apparently the counterintelligence investigation and the criminal investigation overlapped and coincided for a while because, of course, if in fact President Trump had fired James Comey to obstruct the investigation into possible election meddling, that is something that is a criminal case and also, of course, a counterintelligence concern as well. Now as far as those meetings are concerned and those notes are concerned, so far also no comments from the Russians yet. Of course, we have heard from those sources in the "Washington Post" that this is not a common practice and there are some who wanted to subpoena the notes, especially the one from that Helsinki summit that was held in summer, Christine.

BRIGGS: Yes. That should be an interesting confrontation. Fred, not clear if Mr. Trump knew of the request for proposals to strike or whether serious plans can begin. You've from Tehran, why would the NSC make this request?

PLEITGEN: Yes. Well, you know, it is something that we have seen a pattern that we've seen with the Trump administration where they are really cracking down on the Iranians. There certainly have been some things that have happened in the relations between the U.S. and Iran. You mentioned those mortars being fired in the vicinity of the U.S. Embassy in Baghdad.

[04:05:03] There was also an incident, of course, with the U.S. council which has since been closed in Basra, where apparently some rockets were fired within the vicinity of that as well. The U.S. believe there were pro-Iranian Iraqi militias who may have been behind that, but in general, it really seem, as though, this is something that's due to the hard line of the U.S. President and of course his National Security Adviser, John Bolton.

Now, National Security Council of course is tasked with providing options. They do this on a range of topics, not just on Iran. But in this case, it seems to be, if these reports are true, something where they have been extremely hard lined on this topic and that is certainly something that meshes with President Trump's policy and certainly with John Bolton's views and policy as well, Dave.

ROMANS: You know, finally, Fred, on Turkey -- on the Turkey developments, the President warning Turkey not to go after the Kurds and allies, of course, the U.S. will leave behind as it leaves Syria, but then he says that the Kurds can't provoke Turkey. These sides are both allies of the U.S. but rivals of each other. What prompted this?

PLEITGEN: It's a very difficult one. This is really one of the tweaks or plots, if you will, that is most interesting to me having watched this. Of course, I've been in Syria about 25 times now and the plight of the Kurds is really something that's been central to the U.S. there.

Obviously, the Kurds have been, by far, the most important fighters that the U.S. has had against ISIS and it seems as though that the President maybe trying to have it both ways. On the one hand, trying to get out of Syria. On the other hand, of course, trying to protect the Kurds from Turkey as well.

So interesting to hear him say on the one hand that Turkey would be devastated economically, on the other hand that the Kurds also can't provoke the Turks either. That could be a back door for the Turks to take some sort of action. But on the whole, if and when the U.S. begins that pullout -- of course, we know that pullout has begun -- when it ends, the big power that set to take over there, that is set to become more important than anyone else is probably the Russians.

Apparently, they are already in the negotiations. I've just checked that actually on Russian news agencies. Syrian government back by the Russians already in negotiations with the Kurds to try and take over that territory when the U.S. leaves, guys.

ROMANS: All right. Fred Pleitgen for us this morning with a lot to digest from Moscow.

BRIGGS: Pretty full plate for Fred.

ROMANS: We thank you for your -- thank you for your expertise. Thanks.

BRIGGS: All right. We are in unchartered territory, day 24 of the longest government shutdown in U.S. history, 800,000 federal workers no longer getting a paycheck. The White House Office of Management and Budget preparing for the possibility the impasse could last through February.

President Trump holding off on declaring a National Emergency for now. The Senate ally, Lindsey Graham floating this idea to temporarily ease the pain.

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SEN. LINDSEY GRAHAM (R), SOUTH CAROLINA: I would urge him to open up the government for a short period of time, like three weeks before he pulls the plug. See if we can get a deal. If we can't at the end of three weeks, all bets are off.

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ROMANS: So not all the Republicans are on board with Graham's idea. Wisconsin Senator Ron Johnson opposes declaring a national emergency. He says it won't get the President what he wants.

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SEN RON JOHNSON (R) WISCONSIN: I would hate to see it. Using that act, it would be -- in this instance would be a far larger act than has ever occurred in the past. So, I prefer not, primarily because if we do that and it goes to court and the wall won't get built.

(END VIDEO CLIP)

ROMANS: So who is being held responsible for the shutdown? The President said he would own it. And according to a new CNN poll, he does. Fifty five percent of the Americans blame President Trump, 32 percent point the finger at Democrats. Asked about the president's border wall, 56 percent now oppose it, 39 percent favor it. Let's get more from Boris Sanchez. He is at the White House for us. (BEGIN VIDEO)

BORIS SANCHEZ, CNN CORRESPONDENT: Christine and Dave, even as new CNN polling indicates that a majority of Americans blame President Trump for the partial government shutdown, the President is tweeting attacking Democrats suggesting that they should have spent the weekend in Washington trying to hammer out a deal with him as he waits for them at the White House.

We should note there is new reporting that indicates that there has been some tensions during negotiations, but not just between Republicans and Democrats, also between President Trump and his new acting Chief of Staff, Mick Mulvaney.

A White House official who was in the room for a meeting a few weeks ago with congressional leadership and the president indicates that at one point during the meeting, while Mick Mulvaney was trying to negotiate with Democrats on that $1.3 billion that they offered at the White House for border security funding, the President cut Mulvaney off telling him, quote, "Stop, stop, just stop. What are you doing? You're f-ing it all up, Mick."

Now, the source indicates that there was shockingly no reaction in the room after the President cussed at his acting Chief of Staff. We're also hearing that Mick Mulvaney is getting an earful from Democrats as well who had applauded at him during these negotiations, suggesting that the former GOP Congressman is happy and wants a government shutdown. Dave and Christine?

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BRIGGS: All right. Boris, thank you. Real harm is being done by the shutdown. A TSA checkpoint forced to shut down at George Bush Intercontinental Airport in Houston do the staffing issues.

[04:10:01] All flights scheduled to depart from Terminal B operating out of different terminals at Miami International Airport. Concourse G will return to normal operations this morning. TSA staffing problem shut the Concourse down on Sunday.

Canadian Air traffic controllers meanwhile ordered hundreds of pizzas for their American counterparts working without pay since Thursday, more than 350 pizzas have been sent to 49 FAA units.

ROMANS: Oh, Canada, thank you, but for 800,000 unpaid federal workers, the pain is there. Government employees have set up more than 1,000 online fundraising pages. Some furloughed workers are applying for unemployment benefits, money they will have to repay assuming they get back pay after the shutdown.

Federal workers who decided to retire could wait a long time for that to be processed, because people who handle retirements, well, they're are not working, they are furloughed. That is making comments like this one from White House Economic Adviser, Kevin Hasset, a little hard to square.

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KEVIN HASSET, CHAIR, WHITE HOUSE COUNCIL OF ECONOMIC ADVISERS: A huge share of government workers were going to take vacation days, let's say, between Christmas and New Year, and then we have a shutdown. And so they can't go to work, and so then, they have the vacation, but they don't have to use their vacation days. And then they come back and they get their back pay and in some sense, they are better off.

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ROMANS: Better off because they didn't have to use vacation days. Meantime, you've got federal employees who are trying to figure out how they could tap their unemployment -- their retirement benefits, take loans against their thrift savings plans, which I don't recommend.

BRIGGS: No.

ROMANS: That's shows you how --

BRIGGS: Make no mistake. They are not better off for not having to use vacation days over the holiday. Meanwhile, top House Republicans vowing to take action against Iowa Congressman, Steve King, after his recent comments about white supremacy. King is still under fire since telling the New York Times he believed it was wrong to consider white nationalism and white supremacy offensive. Now, he is being condemned by the leaders of own party.

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REP. KEVIN MCCARTHY (R), HOUSE MINORITY LEADER: That language has no place in America. That is not the America I know and it's most definitely not the party of Lincoln.

UNIDENTIFIED FEMALE: Should he be punished for it?

MCCARTHY: I have a scheduled meeting with him on Monday. And I will tell you this. I've watched on the other side that they do not take action when their members say something like this. Action will be taken.

REP. STEVE SCALISE (R), LOUISIANA, HOUSE MAJORITY WHIP: There is no place for hate, for bigotry or anybody who supports that ideology. It is evil ideology. We all ought to stand up against it.

(END VIDEO CLIP)

BRIGGS: King later claimed, he is quote, "Simply a nationalist," and went on to condemn anyone that supports the evil and bigoted ideology of white nationalism and white supremacy.

ROMANS: Now the Trump administration's weakening of the contraception mandate in Obamacare has been blocked by a federal judge in California one day before new regulations were supposed to take effect.

The injunction only applies to Washington, D.C. and the 13 Democratic states that joined forces to bring a lawsuit. The judge ruling those states could face potentially dire public health and fiscal consequences.

BRIGGS: Right now, in a court in Pennsylvania, considering a similar request for an injunction and could issue a broader national order on the contraception mandates. Under the administration's proposed guidelines, nonprofit and for-profit employers could receive exemptions based on religious beliefs.

All right. Just in the last hour, the Secretary of State and Saudi Crown Prince, face-to-face. Did Mike Pompeo bring up the murder of "Washington Post" journalist and U.S. resident ordered killed by the Crown Prince?

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BRIGGS: Secretary of State, Mike Pompeo, meeting with Crown Prince Mohammad Bin Salman, as he continues his Mideast tour. Pompeo said he would raise the issue of the journalist Jamal Khashoggi murder. The crown prince widely suspected of ordering that killing.

Let's go live to Cairo and bring in CNN's Ben Wedeman for the latest. Ben, good morning.

BEN WEDEMAN, CNN SENIOR INTERNATIONAL CORRESPONDENT: Yes, good morning, Dave. That meeting took place between Pompeo and the Crown Prince, as well as, Saudi King Salman. We have seen a tweet from the U.S. Embassy in Riyadh saying that the meeting with the Crown Prince, the two men spoke about the war in Yemen and the need for a de- escalation and the maintenance of the ceasefire around the critical court of Hodeida.

Lacking, so far today, is any mention of the murder and dismemberment of Jamal Khashoggi on the second of October in the Saudi Consulate in Istanbul, something that the CIA does believe that the Crown Prince must have known about the murder. And we did hear in the days before that the Secretary Pompeo said that United States expects Saudi Arabia to hold accountable all those responsible for his murder.

There is a trial on going at the moment of 11 individuals, but those individuals have not been named. So, it appears at this point, that at least publicly this subject has not been discussed so far. They may have talked about it behind closed doors, but all public pronouncements have stayed away from any mention of the murdered "Washington Post" columnist.

One final thing, Secretary Pompeo's trip to the Middle East has been cut short. He will be canceling a final stop in Kuwait to attend a funeral in his family.

BRIGGS: But still a lot of questions for Pompeo once he returns home. Ben Wedeman live for us in Cairo, thank you.

ROMANS: All right. An important gauge of the health of the economy, America's biggest banks will report their earnings from the final three months of 2018 this week. Concerns about the economy, of course, have gripped investors in recent weeks and spurred erratic swings in global markets.

Bank profits suffer when the economy stumbles and businesses are scared to borrow. Things become especially vulnerable when a recession hits and some customers are not able to pay back loans.

[04:20:08] And while the government shutdown has been painful for thousands of employees who are not receiving their paychecks, the effects on Wall Street so far has been minimal.

The DOW closed to 2 percent -- two-tenths of a percent, that's hardly -- that's just barely flat here, but look, it closed a little bit lower on Friday. The S&P 500 closed up 2.5 percent on the week while the NASDAQ surged 3.4 percent.

The shutdown could start to drag down the economy if it continues though. Credit rating agency Standard and Poor's said Friday, the U.S. economy has already lost $3.6 billion. If the shutdown continues, it could have a real effect on first quarter GDP.

We heard from Fitch (ph) and other rating agencies saying that look, you know, if you have the shutdown that rolls into a debt ceiling brinkmanship, which runs about in March --

BRIGGS: Right.

ROMANS: -- you could just have this reinforce concern about America's budgeting priorities and chaos on that front that could hurt America's credit ratings.

BRIGGS: There is no end in sight to this government shutdown. There's no off-ramp for the time being.

ROMANS: No.

BRIGGS: Ahead, over 32,000 teachers set to walk off the job in Los Angeles today. What the strike means for students and parents in the nation's second largest school district.

[04:25:00] (COMMERCIAL BREAK)

BRIGGS: 4:25 Eastern Time and more than 32,000 teachers and staff in Los Angeles set to strike this morning. Union teachers have been working under an expired contract since July of 2017. They are demanding pay raises, smaller class sizes and more school nurses.

L.A. has the nation's second largest school district with more than 600,000 students. The district says elementary, middle and high schools will be open, about 400 substitutes plus 2,000 credentialed district staff will fill in.

ROMANS: All right. The TSA says a traveler carrying a firearm was allowed to board a Delta Flight from Atlanta's Hartsfield Jackson Airport to Tokyo on January 3. Now, the agency says standard procedures were not followed and that it will hold those responsible and appropriately accountable. The security breach came two weeks into the government shutdown, but the TSA says any suggestion the shutdown sort of caused this security lapses false. It says a number -- a normal number of staffers were working that day.

BRIGGS: Four teams left standing in the battle for the Super Bowl. In the NFC play-off match-up Sunday, the New Orleans, Saints overcame a 14-nothing deficit to beat the champion, Eagles 20-14. It was an 11 play -- 18 play, 11 minute, 92 yard game winning drive just devastating capped by that touchdown to Michael Thomas.

Quarterback Nick Foles tried to drive the Eagles to the winning score late in the game, but Alshon Jeffrey let it go right through his hands, picked off, Saints advanced.

Over in the AFC, the New England Patriots were making their eighth straight appearance in the conference championship game by beating up on the Chargers, 41-28, and it was not that close. Tom Brady 343 yards passing, Sony Michel three rushing touchdowns.

On Sunday, you got the Saints hosting the Rams at 3:05, Eastern Time, Chiefs host the Patriots at 6:40 Eastern. The two winners will meet in the Super Bowl in Atlanta February 3rd.

ROMANS: I'm not going to lie. I'm not sad about the Eagles.

BRIGGS: No?

ROMANS: I'm still mourning my Bears (ph).

BRIGGS: They had their chance. John Berman very excited for his Patriots again.

ROMANS: I know. I know.

BRIGGS: The country probably exhausted by it though.

ROMANS: All right. 27 minutes pass the hour. One jaw-dropping headline after the next. The FBI investigated if the President acted against American interests and reportedly destroyed notes from talks with Vladimir Putin. Only that -- that's just the beginning. A weekend of headlines.

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