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Dozens of Western Businesses Leave Russia Over War in Ukraine; Humanitarian Groups Working Non-Stop to Help Displaced Ukrainians; Jury Convicts First Capitol Riot Defendant to Go on Trial. Aired 10:30-11a ET

Aired March 09, 2022 - 10:30   ET

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

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ERICA HILL, CNN NEWSROOM: Breaking news at this hour out of Ukraine. Authorities in the city of Mariupol are now accusing Russian soldiers of bombing a maternity hospital. City officials describe the damage as enormous. We're told a children's ward of the hospital and a department of internal medicine were both destroyed. We are currently going through this video. We're going to bring you any updates as we have them, but, again, officials from the city of Mariupol say that Russians has bombed a maternity hospital there.

General Electric announcing this morning it is suspending some operations in Russia. It is just the latest in a growing list of western companies who have announced plans to pull out of the country or stop investments following Russia's invasion of Ukraine. In just the last 24 hours, Heineken, McDonald's, Starbuck's and Coca-Cola and Yum! Brands, which owns KFC and Pizza Hut, all announcing plans to halt operations.

Among the major companies still in Russia, Caterpillar, Citi, Deere, Hilton, Hyatt, 3M, Mondelez, Papa John's and Whirlpool. Today, the House is expected to vote on a bill that would review Russia's status in the World Trade Organization, reauthorize Magnitsky sanctions law and also ban Russian energy imports.

Now, after President Biden announced a ban on energy imports yesterday, the Kremlin accused the U.S. of declaring, quote, economic war on Russia. The Department of Energy reported in the last two weeks of February Russian imports dropped to zero as U.S. companies cut ties with Russia, effectively implementing their own ban.

Joining me now to discuss is Jason Bordoff. He is former energy adviser to President Obama. It's good to have you with us. There's a lot happening here. And so we want to just step back for a minute and I think you can help us put a lot of this in perspective. Let's start, first of all, with what Americans are seeing domestically.

President Biden yesterday was clear, gas prices will go up. There is recent polling that shows most Americans are okay with paying more at the pump if it is in advance or in the fight for democracy. The president also said that this was Putin's fault.

There is a lot of political finger-pointing, perhaps not unexpected, but is this all Putin's fault if we do see gas prices rise?

JASON BORDOFF, DIRECTOR, CENTER ON GLOBAL ENERGY POLICY, COLUMBIA UNIVERSITY: Thanks for having me on. It is Putin's fault for the reasons you just described with some of the heartbreaking reporting about the barbaric aggression in Ukraine. We have to push back on that with every tool we have to say this kind of aggression will not stand, and one of those tools is to try to cut off the revenue that Russia gets from its sales of energy.

The problem is that imposes pain on all of us because there is just not that many extra barrels of oil in the global market. If you try to cut off Russia's exports, prices are going to go up because it's difficult to replace those. And we've seen the United States now take the move to ban Russian oil. Europe has said it's not yet going to follow suit because the volumes to Europe are so much larger. And, again, that would push up prices even more.

But what we're seeing now, as you said with all those companies that are pulling out, it almost is not mattering what governments are doing because we're seeing self-sanctioning.

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We're seeing more and more companies say, we're not going to buy Russian oil even if it's permitted because we're worried about social pressure and the stigma and Russia is just not an actor we're going to do business with.

HILL: I want to pick up on a couple things you said there. So, these declarations from the U.S. and U.K., that's really a small amount of Russian oil, as you point out. Europe is highly dependent, uses a great deal of energy from Russia. Just today, the Dutch prime minister warned it's not possible for the E.U. to cut off its supply.

Two-part question here, if Europe doesn't cut off its supply, is this still -- I mean, I know you point to all the companies, but is still doing enough, quote/unquote, damage on the part of the U.S. and the U.K. if they're cutting into those Russian oil imports, banning those Russian oil imports? And you mentioned the supply issue. Who could step in, right, if Europe decided they could move more quickly and more forcefully to cut those ties?

BORDOFF: So, it's important to remember when you talk about Russian energy exports. Oil and gas are very different in terms of Europe's dependence, the world's dependence on what the economic implications would be. So, you asked about oil. You might take a phased, gradual approach to pull Russian oil off the market. That's what the Obama administration did, trying to put sanctions on Iranian oil. And, overtime, things could adjust and more supply could come.

You asked where it would come from. There is very little extra supply in the world right now. There are strategic stockpiles that the U.S. and Europeans hold. You can release those. If we have a nuclear deal with Iran, you'll see Iranian production increase. There are some extra production in OPEC countries, like Saudi Arabia, that could come on the market, maybe Venezuela. The Biden administration just sent a delegation there over the weekend.

And then with natural gas exports to Europe, Europe is in a very much more vulnerable position. Natural gas is harder to trade around the world, it's harder to find other sources of supply, and as they prepare for next winter, if next winter is very cold, it will be very hard for Europe to make do without Russian natural gas.

HILL: Jason Bordoff, really great to have you with us this morning. Thank you.

BORDOFF: Thank you.

HILL: Still ahead here, chefs on the frontlines facing incredible challenges and their goal to feed thousands of Ukrainians every single day. We're going to speak with the World Central Kitchen about their impressive work there on the frontlines, just ahead.

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JIM SCIUTTO, CNN NEWSROOM: Right now, humanitarian groups are working 24/7 to help Ukrainians fleeing their homes for their lives as well as those staying behind. One of the groups serving thousands of hot meals in border crossings and cities in this conflict, including Odesa and Kyiv, is a group you might have heard of before, World Center Kitchen. It was founded by Jose Andres.

I'm joined now by Nate Mook. He's the CEO. Nate, good to have you on and thank you for the work you're doing here. I know it's making a tremendous impact.

First, I wonder if you could at the big picture here. More than 2 million people already have fled the country and many more are. And as there is more Russia military activity in the east, more are going to come this way. Are you and other groups able to feed them all?

NATE MOOK, CEO, WORLD CENTRAL KITCHEN: We're going to do our best. It really is a complicated situation, because you have Ukrainians that are displaced internally that are coming to cities, like Lviv, where we are in the west, and also hundreds of thousands that are crossing into countries, like Poland, Moldova and beyond.

SCIUTTO: So, let's talk about Lviv just for a moment, because this has been one of the key transit points for people leaving and going on to neighboring countries, like Poland, as you mentioned. But it's also become something of a life boat, because I've seen the city grow just in the three few weeks we've been, and the mayor has talked about that. He said he's a little overwhelmed. But are you finding that you're serving new sort of temporary residents here as well?

MOOK: Absolutely. I mean, the city really is bursting at the seams right now. Every day, we're getting new requests for food at differing locations that can stretch from a university, a yoga studio. You know, people are going wherever there is space. And at some point, it's going to be too much.

SCIUTTO: And you have operations on the other side of the borders where they go to find safety. Do you think Europe is prepared for this? I mean, it's 2 million so far. We had an E.U. diplomat say the other day expecting 5 million. This is a country of 44 million people, right? There are a lot of women and children who want to live. Is Europe, are your groups like yours able to accommodate that?

MOOK: We have the ability to scale-up dramatically, for sure. But I think there is a fear that as more and more people become displaced and have to flee cities, like Kyiv, where are they going to go, and at what point are European countries going to start closing down their borders? And that's why we're really focused right here building a huge supply of food. We have got trucks coming in every single day preparing for the worst, hoping for the worst. But --

SCIUTTO: Yes. And, often, the welcome is warmest at the beginning and then it cools overtime.

I just have to a question. Chef Andres is famous for great food. What are you -- obviously, the focus is on getting people fed, but what are you feeding folks here?

MOOK: That's a great question, because these are families that are sometimes traveling for days without a meal. And so we're really focused on hot, warm and nourishing food. We've partnered with incredibly Ukrainian restaurants and chefs who are cooking in kitchens across the city here in Lviv, but also, of course, all along the borders, and preparing meals that are really the types of comfort food that Ukrainians want to eat.

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SCIUTTO: So, you go local, in effect?

MOOK: Absolutely. And we're sourcing locally. We're buying locally. We're doing whatever we can to really give them a meal that they eat at home.

SCIUTTO: Yes. Do you -- everybody talks about supply chain troubles now, which affects everyone, including charitable organizations. In the midst of a war in Europe and that supply chain issue, how are you able to get all that basic food stuff here before you could cook it and feed to people?

MOOK: So, it's a combination. We're sourcing what we can here in Ukraine through our local partners, but we're hitting limits. As you said, supply chains are starting to get backed up. Also payment is a big problem now. A lot of suppliers are only taking cash now, which is a huge issue. So, we're backstopping that with food from Europe, places like Germany, Hungary, Poland that we are trucking in to try to build that reserve up just in case.

SCIUTTO: Before we go, are you planning for a timeline? There is so much uncertainty here as to how long this war goes and, therefore, how long there's going to be this exodus of people. Are you planning for weeks, months?

MOOK: I think, as so many, we're hoping for peace tomorrow, but we're planning to be here for the long-term. World Central Kitchen does not leave in the middle of an emergency, and as our founder, Jose Andres, says, wherever there is a fight so hungry people may eat, we will be there. And so we're going to be here. We have got teams. We'll rotate folks in and out as needed, and, really, we couldn't be doing this work without the incredible Ukrainians that are behind us and also volunteers in Poland, Romania, Hungary and beyond.

SCIUTTO: By the way, in this country, oftentimes, a great risk for those involved. Nate Mook, thanks so much for you and for all the work that your team does.

MOOK: Thank you so much.

SCIUTTO: I appreciate it.

Erica, I mean, we're seeing so much generosity play out here, which is the nice bright side of what is otherwise a human tragedy unfolding before our eyes. But there is a tremendous amount of great charitable work being done.

HILL: There is, so many people stepping up in Ukraine and outside of Ukraine. And World Central Kitchen, every time, I am just awed by how quickly they are able to be on the ground and just how thoughtful the response is. I'm really glad that you were able to speak with Nate there, Jim.

Just ahead, the Justice Department getting its first federal conviction of U.S. Capitol riot, the fight on both sides, though, really just beginning.

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[10:50:00]

HILL: Despite fierce opposition, the Republican majority legislature in Florida has passed what is now being called the Don't Say Gay bill. Leading up to the votes, students across the state were protesting, a bill which prohibits class discussion about sexual orientation or gender identity in certain grade levels. Those in favor of the measures say it allows parents greater oversight of what their kids are learning in the classroom.

Those against the bill, including Florida State Senator Shevrin Jones, worry about the impact it could have on LGBTQ-plus students. (BEGIN VIDEO CLIP)

STATE SENATOR SHEVRIN JONES (D-FL): It's going to create an environment where it's going to continue to keep children more closeted. It's going to put more of a sensor on teachers, where teachers are -- as a former teacher, teachers are the first responders to a lot of problems that children come to speak to someone about.

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HILL: The bill now heads to Governor Ron DeSantis, who has signaled his support. If signed, it will take effect in July.

A jury has convicted the first defendant to go on trial for the January 6 Capitol riot. Guy Reffitt was found guilty yesterday of all five charges related to his role in the attack on the U.S. Capitol. Outside the courthouse, Reffitt's wife says they plan to fight his conviction.

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NICOLE REFFITT, GUY REFFITT'S WIFE: The reason that we have all guilty verdicts is they are making a point at a guy, and that is to intimidate the other members of the 1/6ers. And we will all fight together.

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HILL: CNN's Whitney Wild has been covering this, of course, for us. So, what happened in this case, right? What compelled the jury here? What kind of sentencing could Guy Reffitt now be looking at?

WHITNEY WILD, CNN LAW ENFORCEMENT CORRESPONDENT: Well, the sentencing could be pretty severe and let's just back up and explain how it got to this point. It's important to remember that this case only came about, or, in large part, came about, because his own son, Jackson Reffitt, brought information, brought evidence to the FBI. That was a huge part of this case and it was on searing emotional display throughout the trial. Some of the most searing testimony during this week-long trial included painful memories from Jackson, but also painful memories of the attack told by the Capitol police who were there.

Back to Jackson's testimony, though, because it was very critical, it was three-hour testimony testifying against his own father, during this testimony, Erica, Guy Reffitt, his father, was crying. This highlights these family ties ripped apart by disinformation. This was the first case related to January 6th to go to trial, and it was really a test of the Justice Department's ability to tie one person's actions in the crowd to the broader attack on Capitol Hill.

The maximum sentence for the most severe of Reffitt's charges include obstruction of Congress, obstruction of justice. Those could carry, Erica, up to 20 years in prison. He is scheduled to be sentenced on June 8th. But this is the first hurdle for the Department of Justice. Clearly, they have cleared that. And on the broadest level this shows, one, the Justice Department's ability to bring these cases and win, and then also is a reminder of how many families across the country were ripped apart by disinformation.

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Very emotional testimony here helped seal the deal for the Justice Department.

HILL: Whitney Wild, I appreciate it. Thank you.

And thanks to all of you for joining us this morning. I'm Erica hill in New York.

SCIUTTO: And I'm Jim Sciutto in Lviv, Ukraine. We will continue to bring you stories from the war here this week.

At This Hour with Kate Bolduan starts right after a quick break.

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