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Twitter Goes Public; FDA to Remove Trans Fats; Country Stars Shine at CMA Awards; Biden Calls Wrong Man to Congratulate Him; Veteran Preserves Graves of U.S. Soldiers; Kevin Ware Returns to the Court

Aired November 07, 2013 - 09:30   ET

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

CAROL COSTELLO, CNN ANCHOR: $26 a share. Set the mood for us.

ZAIN ASHER, CNN CORRESPONDENT: Hi, Carol. Yes, $26 a share. I mean that is what underwriters and also Twitter themselves decided was a sweet spot. You know, what is tricky about pricing an IPO like this, Carol, is that you have to make it low enough to really fuel investor demand, but you don't want to make it too high because otherwise shares might start tumbling as soon as a stock starts trading. And that is what happened to Facebook.

But, listen, this is the moment of truth for Twitter. This is a huge opportunity for them. And also the New York Stock Exchange, I should mention as well. Because if the New York Stock Exchange actually gets this right and everything goes smoothly, guess what, you're going to see more tech companies picking the New York Stock Exchange over the NASDAQ, and that is a huge deal.

The stock exchange has had a dry run. They've had dress rehearsals. They've done everything in their power to make sure that their systems can handle a huge number of orders if that is the case. A lot of people have learned from what happened with Facebook's IPO last year. We saw those technical glitch. We saw those delayed orders. We saw people not knowing if their buy or sell orders had gone through. Twitter looked that the and said, hey, you know what, that's not going to happen to us.

So lastly, Carol, I will say this. That my advice to investors with things like this is that sometimes it is better just to take a step back and wait. You know, we learned from Facebook's lesson. It took the stock a year to get back to its IPO level. Sometimes it's hard enough to invest in a regular stock that has a long history of trading, let alone a brand-new IPO that hasn't got a proven model that isn't turning a profit yet. So we shall see. A lot of exciting there on the trading floor, though, Carol.

COSTELLO: I know. I just wondered if we could bring that picture full at the New York Stock Exchange and listen to some of the commotion on the floor -

ASHER: Wow.

COSTELLO: Because you can get a sense of -- let's just listen for a second. So you can hear how everyone is excited. They're taking pictures. Zain Asher, stick around. I want to bring in now Ellen McGirt. She's a senior written for "Fast Company." She's written extensively about Twitter.

Ellen.

ELLEN MCGIRT, SENIOR WRITER, "FAST COMPANY": Hi, Carol.

COSTELLO: This is a momentous day.

MCGIRT: It's a big day for a lot of people, including a lot of people who've never thought that Twitter would be anything more than a quirky idea.

COSTELLO: Anything more than a - still, the company lost, what, $80 million last year? Is that correct? So they're hoping for big things.

MCGIRT: They are. They are. But they spend a lot of money. Just - wow, that is -- they are excited. That is really -- I wish I was down there on the floor with them.

COSTELLO: Me, too.

MCGIRT: They spend a lot of money and they've invested really wisely. And the most important things they've invested in are the people that work there and the companies that they have acquired that are going to let them do great things in the future.

Remember the fail whale (ph), it doesn't -- the site doesn't crash anymore? It's stable. But some of the extraordinary executives that have worked there have been thinking about, what is the next best use for Twitter in the world. So far, especially if this day goes as well, it looks like they're worth all the money they've been spending on them.

COSTELLO: Yes. So it's going to go for $26 a share, right? But that's not really available for, you know, regular joes out there. It's only for wealthy people, frankly, who will buy in early and hope to grow even wealthier.

MCGIRT: I know. That's true. And it seems so incredibly unfair. But when you look at it from an average investor's point of view, and I know that you - you know, I was going to talk about this. It's a speculative stock. You know, it's a young company. And most people who are average investors aren't saving enough as they should be. They're not building up their 401(k)s the way they should be. They're not - they're not - they're not ramping up their IRAs the way they should be. So if you have extra money to spend on a stock, it's good for the individual investor. Most people that I know don't yet.

COSTELLO: And just a last question for you. Could we see Twitter stock tank the way Facebook's did, you know, when it -- so maybe it's better that regular investors have to wait in light of what happened with Facebook.

MCGIRT: It is. If you're going to look at something like on a day-to- day basis like weighing yourself every hour, you're going to be on an emotional roller coaster that's just not appropriate for the individual investor. I don't think we're going to see it tanking. I'm hoping for a smooth debut and for a smooth year. But these, like all stocks, should be thought about in the long term. You know, and Twitter is really inventing itself as it goes - as it goes ahead. It's going to be going international in a very serious way. There's going to be new applications for it in the world that are going to be very exciting to watch. And if you're making yourself up as you go along, and I mean that in the best possible sense, you shouldn't be needing to worry about the share price on a regular basis.

COSTELLO: All right. Ellen McGirt, thanks for the info this morning. We appreciate it.

MCGIRT: Thanks, Carol.

COSTELLO: I do -- thanks, Ellen.

I do have some breaking news to share with you regarding your health. The FDA announcing it is moving trans fats - trans fats, considered by doctors to be the worst type of fat and the kind of fat that raises your bad cholesterol levels, to the unsafe list. Senior medical correspondent Elizabeth Cohen is here to explain.

So that involves a lot of food.

ELIZABETH COHEN, CNN SENIOR MEDICAL CORRESPONDENT: That does involve a lot of food, like cookies, muffins. I mean not all cookies, not all muffins, but many of them, those biscuits that are so yummy, many of them are yummy because, well, they contain trans fats. But trans fats are bad for your heart. And for about 10 years now, experts have been saying to the FDA and petitioning them, get these facts off the market. And now finally, 10 years later, the FDA said, hey, let's try it. So they made the first move today to start getting trans fats out of the foods that we eat.

COSTELLO: So we won't see an immediate change, but we're certainly going to see a change?

COHEN: Right. We won't see an immediate change. And there's all these bureaucratic steps, proposals and comments, et cetera, et cetera, that they need to go through, but it certainly is looking that in time trans fats could -- or will likely be out of our food supply.

COSTELLO: And some restaurants have already moved toward that.

COHEN: Right.

COSTELLO: McDonald's, right, trans fats out of their french fries?

COHEN: They - right, out. And years ago -

COSTELLO: Satisfries at Burger King.

COHEN: That's right. Well, you really know this. You must eat a lot of these fries.

COSTELLO: I try not to, but I love them.

COHEN: You try not to. They are. They're good, right? Exactly. Right, exactly.

So since the early '90s, there's been about a 75 percent decrease in the amount of trans fats in our food. So some people are saying, the FDA's kind of late to this party. You know, industry was already doing this and why didn't they do this earlier? But, still, I suppose, better late than never. And there still is quite a bit of trans fats. I know because I think I ate one of those biscuits recently and I said, why is this so good? And then I checked the ingredients -

COSTELLO: (INAUDIBLE) you're the medical correspondent.

COHEN: I know, but, you know, even medical correspondents make mistakes, right? I ate it and I said, why is this so good? And then I looked at the ingredients and I found out why.

COSTELLO: And then you feel guilty.

COHEN: Yes. But, you know, I didn't eat it again.

COSTELLO: Elizabeth, thanks so much.

COHEN: Thanks.

COSTELLO: Still to come on the NEWSROOM, it's country music's biggest nights. Lots of laughs. Plenty of awards. But in the end, it was all about music.

(COMMERCIAL BREAK)

COSTELLO: Country music's best and brightest came out to shine last night at the 47th Annual CMA Awards. And while host Carrie Underwood and Brad Paisley poked fun at stars like Miley Cyrus and Kimye, the biggest laughs came at the expense of Obamacare.

(BEGIN VIDEO CLIP)

BRAD PAISLEY & CARRIE UNDERWOOD, MUSICIAN (singing): We'll have cataracts and dementia. Oh this is getting on my last nerve. Obamacare by morning, over six people served.

(END VIDEO CLIP)

COSTELLO: The sad part is, you can't even dispute that. "Showbiz Tonight" host A.J. Hammer is live in New York with more.

And I watched The Country Music Awards last night and it's not every night you get to see the cast of "Duck Dynasty" twerking Carrie Underwood.

A.J. HAMMER, HOST, "SHOWBIZ TONIGHT": Yes, doing backup. How fantastic is that. And it's such a great awards show. I don't care what you think about country music, even if you don't like it, it's a fun show to watch. But it wasn't just about the laughs and "Duck Dynasty" last night. The CMA Awards are really billed as country music's biggest night. And it certainly was that for Blake Shelton and Miranda Lambert. They cemented their status as Nashville's golden couple by winning male and female vocalist for the fourth year in a row. And they told CNN that they really appreciate this recognition because to them it makes up somewhat for all the times that those guys have to spend apart on the road or in the studio, although considering it's the fourth time they've won, they also told us that they hope people aren't getting tired of them.

Now, Shelton also picked up his very first win for album of the year, but he lost out on entertainer of the year to sentimental favorite, legendary George Strait. Shelton did tell us that that was just fine with him.

There was some fresh faces at the podium too. Kasey Musgraves was named new artist of the year, while Florida Georgia Line nabbed duo of the year and single of the year for their summertime smash "Cruise." And at the tender age of 23, Taylor Swift received the CMA's prestigious Pinnacle Award for achieving global success and recognition unique to country music. CNN spoke with Swift after the awards show and she is still so humble. Watch this.

(BEGIN VIDEO CLIP)

TAYLOR SWIFT, SINGER: It's amazing. I think that I didn't really understand what kind of a big deal they were going to make about this award until they started rolling this video package of Justin Timberlake and Reese Witherspoon and Mick Jagger and Julia Roberts congratulating me. I was absolutely at a loss for words. I was freaking out.

(END VIDEO CLIP)

HAMMER: Yes, Carol, she's been winning awards year after year after year. Always seems so surprised, like it's the first time she's ever won an award. I actually like that. I've heard some people complaining about that saying, Taylor, expect it already, you're going to get the award. I think it's cute.

COSTELLO: Oh, she's a lovely person.

I think another of my favorite moments - I don't know if it was my favorite moment, but I found it interesting. It's from the stage, Brad Paisley and Carrie Underwood singled out, you know, Taylor and said, thank you for not twerking.

HAMMER: Yes.

COSTELLO: Thank you for dressing like a lady. We appreciate that.

HAMMER: That was - that was much more appropriate. It was worthy to thank her for that. And, really, it's such a great show too. I love how they mix up the awards. You're not waiting all night for album of the year. I think they do a terrific job. And some of the other awards shows should look to the CMAs for what they do with their awards show.

COSTELLO: I know. And in my next life I want legs like Carrie Underwood.

A.J. Hammer, thank you so much. I appreciate it.

HAMMER: You got it.

COSTELLO: We'll be right back.

(COMMERCIAL BREAK)

COSTELLO: Checking our "Top Stories" at 47 minutes past the hour.

Vice President Joe Biden thought he was making a friendly call to Boston's New Mayor, Marty Walsh. That's Walsh celebrating his big victory Tuesday night. Just one problem, that's not the Walsh that Biden called. Here's what happened next.

(BEGIN VIDEO CLIP)

MARTY WALSH, POLITICAL CONSULTANT: He said, you know, congratulations, Marty, you dog. You know, great, great win. And right then I said, "Mr. Vice President, I'm sorry, you've got the wrong Marty Walsh." He laughed. He was great about it.

(END VIDEO CLIP)

COSTELLO: This Marty Walsh is a political consultant and a former staffer to the late Senator Edward Kennedy. And Biden wasn't alone in his gaffe. DNC Chairwoman Debbie Wassermann Schultz made exactly the same mistake.

A third person has died following a shooting at a Detroit barbershop, seven other people were wounded. Police tell CNN affiliate WXYZ that someone at the shop heard a commotion outside, opened the door and the bullets began to fly. It's not clear if there was more than one shooter. An investigation, of course, is under way.

In money news Blockbuster says it will close its last 300 retail stores in the United States and end its mail-order services by January. Digital streaming by brands like Netflix and RedBox have hurt the once-dominant movie rental chain. Dish Network which bought Blockbuster three years ago says Blockbuster's streaming service along with Blockbuster at Home will both continue.

And a surprising announcement by ABC anchor, Elizabeth Vargas, who says she's in rehab to deal with an addiction to alcohol. She did not say when she began treatment or where, but she did say she hopes the disclosure will encourage others to get help. An ABC spokesman says the network looks forward to Vargas's return.

And a suspected burglar got stuck in a Naples, Florida, chimney. It's not often you get to see the person actually stuck in the chimney. Anyway, his alleged accomplice went to find police for help while his friend had his foot dangling from the fireplace. No one was home at the time. And it took firefighters a half hour to rescue the guy from the chimney and then he was brought to jail.

In honor of Veterans Day, CNN photo journalists are turning their lenses to the men and women who have served their country. Today on "Vets in Focus" we would like to introduce you to Ken Smith. He's an Air Force veteran who now fights a battle to preserve sacred burial ground and a piece of American history.

(BEGIN VIDEO CLIP)

KEN SMITH, FRIENDS OF MOUNT MARIAH CEMETERY: It just shouldn't be this way. These graves should be cleared and paid the respect that they deserve.

We're at Mt. Mariah Cemetery which is in Philadelphia founded in 1855 and remained in operation until 2011 at which time it was abandoned.

As time goes by, the cemetery ran out of grounds. Funding gets cut and next thing you know, they can't afford to maintain the cemetery. The government isn't responsible for Mt. Mariah, due to the fact that they don't own the grounds. They're not responsible for maintaining cemeteries in which veterans are interred.

It's just an absolute crime that the grounds are in the shape that they are. These guys are heroes and they needed to be treated as such. I want to help preserve American history.

We've got soldiers in here who fought in the Revolution, the Spanish- American war, the war of 1812, World War I, World War II, Korea, Vietnam. I am a veteran of the United States Air Force. I was basically a heavy equipment operator out in the flight line, loading and unloading cargo and we supported Desert Storm. And if I'm going to spend the next 20, 30 years in my life getting it back to what it was and when we are able to get it back there I would love to be buried out here.

(END VIDEO CLIP)

COSTELLO: Make sure to tune in to CNN next Monday, Veterans Day, 2:30 Eastern for our special "Veterans in Focus: Service, Struggle and Success."

(COMMERCIAL BREAK)

COSTELLO: It was one of the most gruesome injuries ever seen on a basketball court. But now less than eight months later Louisville's Kevin Ware is back in action. Andy Scholes will do the "Bleacher Report". He was awesome.

ANDY SCHOLES, BLEACHER REPORT: Yes he is this whole situation is awesome. Right, Carol? He was just cleared to start practicing on Sunday. And last night he didn't expect to play. But head coach Rick Patino he surprised everyone when he called Ware's number.

And this was the moment we all remember, from the NCAA tournament last year Ware laying on the court after that gruesome broken leg. Now last night Ware show, hey he's all healed up. He came in halfway through the second half. Got a standing ovation and first shot he took, three-pointer. He drained it.

COSTELLO: Yes.

SCHOLES: He did the guard, he only played ten minutes in the game but he was obviously thrilled to be back out on the court.

(BEGIN VIDEO CLIP)

KEVIN WARE, LOUISVILLE BASKETBALL PLAYER: When he called my number, I was just ready to get in. I've been waiting for this moment for 200 and like 20 days now. So I'm happy.

(END VIDEO CLIP)

SCHOLES: All right. The fame and fortune that comes with playing in the NFL apparently isn't for everybody. John Moffitt, an offensive lineman for the Denver Broncos is quitting the NFL midseason and by doing so he's walking away from the $1 million left on his contract. Moffitt says he's retiring from football because he lost his love for the game and he's tired of risking his health. Moffitt was drafted in the third round in 2011 and he was only in his third season in the league.

Trending on BleacherReport.com today is this crazy video from last night's Blackhawks/Jets game. And Jets Adam Pardy gets checked through the glass. Check it out, Carol. A fan steals his helmet.

COSTELLO: No.

SCHOLES: And he puts it on. Poor Pardy now he got his helmet stolen and then this lady pours her beer on his head.

COSTELLO: Oh that's just wrong on so many levels.

SCHOLES: Pardy got slammed to the glass, helmet stolen and a beer poured on his head. This is why I don't play hockey, Carol.

COSTELLO: You're a smart man. You're a smart guy Andy.

SCHOLES: Kansas City women's basketball team is tipping off their season tomorrow night and in hopes of luring a big student crowd to the game, the school is offering them free bacon.

COSTELLO: Bacon.

SCHOLES: KSU announced the promotion on Twitter and it's gained so much steam Carol that the school -- they had to increase their order of bacon from 100 pounds to 300 pound. So if you're a student and you go to the game, and you get there an hour beforehand you're going to get a paper cup or a boat they're calling it full of bacon.

COSTELLO: It's cooked, right?

SCHOLES: It is cooked and I hope they have plenty of napkins. Because that's going to be --

(CROSSTALK)

COSTELLO: This is the most ridiculous thing I've ever heard. But who doesn't like bacon? It makes everything tastes better.

SCHOLES: It sure does and I don't know if you want to eat a boat of it by itself.

COSTELLO: Oh man I do, Andy. Thanks so much. That was a lot of fun.

The next hour of CNN NEWSROOM starts now.

Happening now in the NEWSROOM -- ready, set, go. From 140 characters to $14 billion; the blue bird of Twitter leaves the nest and goes public $26 bucks a share. Nice if you've got the cash.

Also, mystery deepens. New surveillance video shows Georgia teen Kendrick Johnson walking then running out of frame. Then the video goes blurry, leaving open the question of how the 17-year-old died inside that rolled up gym mat.

Plus standing O, eight months after a horrific injury at the elite eight Kevin Ware is back -- six points, four rebounds, three standing ovations.

And oh, the VP calls to congratulate Boston's new mayor, except he dialed up the wrong Martin Walsh.

(BEGIN VIDEO CLIP)

WALSH: Congratulations, Marty, you dog. Great, great win. And right then I said, Mr. Vice President, I'm sorry. You've got the wrong Marty Walsh.

(END VIDEO CLIP)

COSTELLO: Oops. You're live in the CNN NEWSROOM.

Good morning. I'm Carol Costello. Thank you so much for joining me.

Any moment now, shares of Twitter will start trading on the New York Stock Exchange. Twitter executives rang the opening bell with the sign #ring. The initial public offering is priced at $26 bucks a share.