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Report: Online Prices Down As Retailers Resort To Deep Discounts; World Bank Sharply Lowers Forecast For Global Economic Growth; Disney CEO Orders Workers To Return To Office 4 Days A Week; House GOP Approves Rules Package, Shifts Focus To Investigations; House Republicans Announce New Committee Chairs, Some Dems To Lose Chairs; House To Vote On Subcommittee To Investigate DOJ, FBI For "Ongoing Criminal Investigations"; Rep. George Santos: "I've Done Nothing Unethical"; House GOP Plays Bad Lip-Reading Parody Of McCarthy & Gaetz On Floor; Gaetz Seeks To Allow C-SPAN Cameras In House Chamber At All Times; Former Trump Organization CFO Sentenced To 5 Months In Jail; Ukrainians To Train On Patriot Missiles In U.S. As Soon As Next Week; Satellite Images Show Crowding At Crematoriums, Funeral Homes In China. Aired 2:30-3p ET

Aired January 10, 2023 - 14:30   ET

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

(COMMERCIAL BREAK)

[14:30:45]

VICTOR BLACKWELL, CNN HOST: Some encouraging economic news. Online prices were down in December as retailers used discounts to lure shoppers back. It is the fourth straight month of annual price drops.

ALISYN CAMEROTA, CNN HOST: CNN business correspondent, Rahel Solomon, joins us now.

Rahel, is this a blip or a trend?

RAHEL SOLOMON, CNN BUSINESS CORRESPONDENT: It seems to be a trend. And with a bit of good luck, hopefully it continues.

The question about how long this continues and how long until we get to much lower inflation. But this report, guys, yet another example of lower prices.

So as you said, 1.6 percent prices are off compared to last year. That is the fourth month in a row where we've seen annual declines. So directionally, we like to see it. Right?

When we look at some of the biggest categories where we're seeing sharp declines, take a look. Computers off 16 percent compared to a year ago. So if you were looking for a computer, now might be a good time to buy it. Electronics off 12 percent. Toys, sporting goods, both off about 6 percent to 7.1 percent.

Now, I should say that there are some categories where, unfortunately, that trend is not continuing. Some essential categories, which is problematic.

So groceries, those prices are still up 13.5 percent compared to a year ago. Medical equipment also higher. And personal care.

Now, that hopefully -- some of those larger categories, that should hopefully provide some relief for folks at home.

Also the cost for gas, guys, the average right now 3.27 for an average cost of gas.

Although, Victor --

(CROSSTALK)

BLACKWELL: I'm waiting for it to hit 1.99 again. Those were the days.

(CROSSTALK)

(LAUGHTER)

BLACKWELL: All right. So let's talk about the World Bank lowering its forecast for global economic growth.

SOLOMON: Yes.

BLACKWELL: Mixed bag today. What are they saying?

SOLOMON: This is a pretty significant downturn for the World Bank. Updating its projection for world economies to growth of 1.7 percent. Guys, six months ago, the projection was 3 percent. That's a pretty significant downturn.

For some of the same reasons that we talked about a lot on this program, inflation, aggressive central bankers, also Russia's invasion of Ukraine.

The report saying that global economies are perilously close to falling into recession. So a mixed bag for sure.

CAMEROTA: Tell us about what Disney CEO Bob Iger wants of all of his employees starting in March.

SOLOMON: So Bob Iger, the old Disney CEO, who is now the new Disney CEO, saying that, starting in March, he wants employees back in their seats Monday through Thursday, four days a week.

And what this is, is yet another example of the tension between employees and managers. Employees who feel like I can be just as productive at home, managers who feel like uh-uh, bring your butt back to work.

So the CEO saying -- Bob Iger saying, "In a creative business like ours, nothing can replace the ability to connect, observe and connect with peers that comes from being physically together."

Guys, ultimately we'll see, because you think about the labor market, unemployment is very low and demand for workers is still strong.

So we'll see ultimately this tension, who ultimately wins out between the workers and employees.

CAMEROTA: Really interesting.

SOLOMON: Yes.

BLACKWELL: Rahel, thank you.

CAMEROTA: Injured football player, Damar Hamlin, could be released from the hospital within the next day or two. This is according to a hospital official in Buffalo.

The Buffalo Bills safety was transferred from a Cincinnati hospital yesterday after doctors said his condition had improved tremendously.

Minutes ago, Hamlin tweeted, quote, "Not home quite just yet. Still doing and passing a bunch of tests. Keep me in all of your prayers please."

BLACKWELL: Doctors are finishing tests to rule out any pre-existing conditions that could have contributed to the cardiac arrest that he suffered on the field last week.

They're optimistic, though, about his faster-than-expected recovery. A written update on his health is expected today.

CAMEROTA: OK, so still ahead, what did Kevin McCarthy promise to win the speakership? Some of his colleagues think they're still in the dark about the deals that he made.

[14:34:22]

Plus, another complaint is filed against New York Congressman George Santos as he insists he did nothing wrong.

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CAMEROTA: Newly minted House Speaker Kevin McCarthy pushed through the rules package last night packed with concessions he had to make in order to secure the gavel.

Next up, investigations. House Republicans quickly turning their attention to the Justice Department and the FBI.

BLACKWELL: The GOP-led House also now holds control over committee assignments. And McCarthy warned some Democrats that they will not be going back to some of the committees on which they previously served.

CNN's Melanie Zanona is with us now.

Melanie, who is in, who is out for these committees?

MELANIE ZANONA, CNN CAPITOL HILL REPORTER: Well, we now know which Republicans are going to be leading these committees and thus leading some of these key investigations into the Biden administration.

That includes Jim Jordan, who will be leading the House Judiciary Committee, James Comer over at House Oversight, Mike Rogers, who's leading the House Armed Services Committee, and Mark Green, who was just newly elected to lead the House Homeland Security Committee.

So what happens next is now they will actually begin to populate those committees with members. Kevin McCarthy has already signaled that he plans to give all of his Republican members committee assignments.

Including some of the most controversial members, like Marjorie Taylor Greene and Paul Gosar, who were kicked off of their committees for incendiary remarks last year.

And new member, George Santos, despite the fact that he has admitted to lying about his resume.

[14:40:02]

And then on the flip side, Kevin McCarthy has reiterated his promise to kick some Democrats off of their committees. That includes Eric Swalwell and Adam Schiff, who serve on House Intel, and also Ilhan Omar, who serves on the House Foreign Affairs Committee.

So that is largely seen essentially as payback for Democrats moving to boot Marjorie Taylor Greene and Paul Gosar off their committees.

But one other thing we should be looking out for here is that Kevin McCarthy has agreed to put more House Freedom Caucus members on a number of committees. That was one of the concessions he made in part of his deal to become speaker.

But we still do not know how many members, which members, which committees. That is something that rank-and-file Republicans have expressed concern about.

And they want to know more details about exactly what concessions that Kevin McCarthy agreed to.

Just take a listen to what Nancy Mace told our colleagues earlier today.

(BEGIN VIDEO CLIP)

REP. NANCY MACE (R-SC): There are still some questions that I think many of us have about what side deals may or may not have been made. What handshakes were made.

Are there any side deals for chairmanships and committee assignments? We won't actually know until the steering process is actually over.

(END VIDEO CLIP)

ZANONA: Now, one other concession that Kevin McCarthy did make that we do know about is he agreed to create a new select subcommittee to investigate the FBI and DOJ.

This committee will also be empowered specifically to look into ongoing criminal probes, including those involving former President Donald Trump. So they're going to vote on that in the House today.

And then Kevin McCarthy will be responsible for appointing members to that committee -- guys?

CAMEROTA: Melanie, how about that truth-challenged new member, George Santos? What committee is he qualified to serve on, number one? And is he ever going to publicly explain all the lies he's been caught in?

ZANONA: Well, I will tell you that freshmen, in general, tend to get -- "D" list committee assignments. Kevin McCarthy typically does not punish his members, as we've seen.

He even told our Manu Raju yesterday that he tends to deal with these issues internally.

It's unclear what committee assignments he will get other than the fact we are expecting him to get these committee assignments.

And he's largely dodged reporters in the capitol ever since he's been here since last week. He did briefly talk to some reporters. He said he hasn't done anything unethical, even though he has admitted to lying about his resume.

And this comes as two Democrats have now formally filed an ethics complaint against him with the House Ethics Committee. Even some Republicans have said that there should be an Ethics Committee investigation.

That is a bipartisan committee. They can make recommendations about disciplinary action. But ultimately, it would be up to the House to follow through with those.

BLACKWELL: Often your committee assignment aligns with your professional or life experience. But in this case, we don't know what that is.

ZANONA: We don't what that is.

BLACKWELL: We don't know what it is.

All right, Melanie Zanona, thank you.

So House Republicans kicked off their conference meeting today by attempting to ease some tensions from the speaker drama. They played the bad lip-reading parody of this heated moment between Kevin McCarthy and Matt Gaetz.

(BEGIN VIDEO CLIP)

PARODY VOICE-OVER: A really rich doctor said you were a bummer.

PARODY VOICE-OVER: And I think you don't know algebra.

PARODY VOICE-OVER: No, we're talking science, bud.

PARODY VOICE-OVER: The science of what? Is that a tiger?

PARODY VOICE-OVER: One of your friends promised me I could flick you in your face.

PARODY VOICE-OVER: Absolutely you may not do that.

PARODY VOICE-OVER: Hit him in his cringy smirk for real.

PARODY VOICE-OVER: Say any cereal name.

PARODY VOICE-OVER: Cinnamon toast crunch.

PARODY VOICE-OVER: You're like people in the 12th century.

PARODY VOICE-OVER: Why did you say it like that?

PARODY VOICE-OVER: You're a formulated pickle popper.

PARODY VOICE-OVER: He's a storm cloud.

PARODY VOICE-OVER: I don't like you, dude.

PARODY VOICE-OVER: And there's a tiger -- that's it.

PARODY VOICE-OVER: You two guys sent the tiger.

PARODY VOICE-OVER: Not me.

(END VIDEO CLIP)

CAMEROTA: It's so good. How do they do that?

BLACKWELL: I love that lip reading.

CAMEROTA: So that video, the real one, OK, not the parody. was courtesy of C-SPAN. Because they had access during all those debates to places they didn't normally he see.

Now Congressman Matt Gaetz, who you just saw there, has filed a measure to allow C-SPAN cameras in the House chamber at all times so they can capture real moments like those.

BLACKWELL: I'm here for it.

CAMEROTA: I'm all in on that.

BLACKWELL: Yes. Yes.

CAMEROTA: I don't know if everybody else would like that.

BLACKWELL: No, no.

CAMEROTA: It was so great to see those moments, the strange bedfellows that we got to see.

BLACKWELL: Yes.

CAMEROTA: Paul Gosar cozying up to AOC --

BLACKWELL: AOC, yes.

CAMEROTA: -- whom he had been so nasty to. But then he needed her for information and he was --

(CROSSTALK)

BLACKWELL: A little fact checking.

CAMEROTA: That was amazing. I've never seen that.

BLACKWELL: Sheila Jackson Lee and Matt Gaetz as well. It is great to see this.

There's also a Democrat who's going to offer another bill to suggest the same thing. But we'll see if it happens. We, of course, would all love to see it.

[14:44:35]

CAMEROTA: OK. This just in. The former Trump Organization CFO Allen Weisselberg has just been sentenced. We're live outside of the court with that update next.

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BLACKWELL: Just in, Allen Weisselberg, the Trump Organization's former chief financial officer, was sentenced to five months in jail. Now, he pleaded guilty last year to multiple tax crimes related to former President Trump's real estate empire.

CAMEROTA: CNN's Kara Scannell joys us now.

So, Kara, I was surprised to hear he's going to Rikers Prison, which is where hard-core criminals go.

KARA SCANNELL, CNN CORRESPONDENT: Alisyn, that's right. So Allen Weisselberg today sentenced by the judge who had overseen the trial of the Trump Organization. And he sentenced Weisselberg to a sentence of five months in jail.

In New York City, if you're sentenced to jail, which is a term of less than a year, you go to Rikers Island Prison. It is a notorious prison. It is known for being a dangerous prison. And it has had federal oversight for some time.

But Weisselberg, because of the deal he made when he pled guilty last august, got a sentence of five months in jail and five years of supervised release.

[14:50:03]

And the judge saying today, having presided over the trial, listened to the evidence and listened to the testimony of Weisselberg, he said, if he had not made that promise, he would have sentenced Weisselberg to a much stiffer sentence.

He said he was -- what he found so offensive during this trial was that Weisselberg had gotten his wife a $6,000 paycheck from the Trump Organization entities to enable her to get Social Security benefits.

And the judge said that since Weisselberg was so well paid and received all these off-the-books compensation, including the company paid apartment, the cars, the private-school tuition for his kids, he said that was so offensive to him that he would have sentenced him to a greater amount of time in jail had he not already made this deal.

Now, this came after Weisselberg's attorney asked for a softer sentence, saying that, when you're 75 years old, every month in jail counts.

The judge obviously rejecting that and saying that he did find that Weisselberg had met all terms of his plea agreement. He did find that he acted with such grief, that he would have sentenced him some more.

But in the end, he sentenced him to five months in jail and five years of supervised release.

Now Weisselberg was remanded into custody, was handcuffed, and will be processed and then he'll be sent to Rikers Island at some point today -- Alisyn and Victor?

BLACKWELL: Kara Scannell, for us there. Kara, thank you.

Ukrainian troops are set to begin training in the U.S. on how to use Patriot missiles. Now, the Pentagon is confirming the program will be at Fort Sill in Oklahoma. And that's where the U.S. conducts its own training of the air defense system.

CAMEROTA: CNN's Oren Liebermann joins us now with his reporting.

Oren, what have you learned?

OREN LIEBERMANN, CNN PENTAGON CORRESPONDENT: This training program on Patriot missile systems, which is an advanced but complex missile system, generally takes months, if not close to a year. The Pentagon is looking at ways to accelerate this as much as possible.

But it's an open question of how much can you really speed this up. Because of the different components of the battery, because of the level of complexity, and how much maintenance it takes to keep one of these systems running.

Nevertheless, the Pentagon says, after we first reported earlier today, that that training program will start as soon as next week, with the Ukrainians come to Fort Sill in Oklahoma where the U.S. does its own Patriot training to take up this program and start working its way through it.

Ukraine has been asking for this for quite some time. It will obviously take more time through this training program for it to get on the battlefield.

The Pentagon says it will customize the training to the extent it can, to deal with the realities of what they face from Russia.

(BEGIN VIDEO CLIP)

BRIG. GEN PAT RYDER, PENTAGON PRESS SECRETARY: The training will be tailored to provide relevant tactics, techniques and procedures based on the battlefield conditions in Ukraine to enable them to employ that to maximum effect once they are back in Ukraine.

(END VIDEO CLIP)

LIEBERMANN: In terms of how long the training itself will take, the timeline there, the Pentagon not really giving many details for a couple of reason.

First, they don't know yet how much they can speed up the training.

And second, they don't want the Russians to know exactly when Ukraine will have the Patriot missile system on the battlefield as part of its defenses. So they're being a bit vague on that answer.

Nevertheless, Victor and Alisyn, it is clear Ukraine is looking for this. They have learned other U.S. systems, including complex systems, quickly.

And this will no doubt be another one that the U.S. tries to get on the battlefield as quickly as it can.

CAMEROTA: OK, Oren Lieberman, thank you for all of that.

BLACKWELL: The White House is facing a slew of questions today about the president's handling of classified documents after some were discovered in the private office he used during his time as vice president. CNN has new reporting ahead.

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[14:57:57]

CAMEROTA: Satellite images in China show overcrowded crematoriums and funeral homes. You can see vehicles lining up outside in multiple cities.

BLACKWELL: China's official COVID death toll since December 7th is 37 people. But these new images, along with witness accounts, raise concerns about the severity of the current outbreak.

CNN's Marc Stewart is with us now from Hong Kong.

Marc, are Chinese officials saying anything about this?

MARC STEWART, CNN INTERNATIONAL CORRESPONDENT: Well, Victor, Chinese officials say they are keeping track, an accurate track of COVID deaths. But the criteria that China is using is very specific. It's very

stringent. And that someone has to have specific respiratory ailments, illness in order for ray death to be considered COVID related.

However, these pictures, especially those from up above, really do confirm what CNN has been seeing on the ground in recent weeks. Funeral homes that are overwhelmed, crates outside these funeral homes with body bags in them. A very grim picture.

No surprise the World Health Organization is less than thrilled with this. They feel China needs to be much more forthcoming with regular rapid updates, not only about deaths but also hospitalizations and exactly where the COVID illnesses are progressing.

It was just a few days ago, Alisyn and Victor, that China opened up its borders. It lifted travel restrictions.

So in many ways, at least on paper, China is open for business after two-plus years of a very strict lockdown that the world watched.

CAMEROTA: Yes, I mean, so, Marc, given that their deaths look higher, how is the re-opening going?

STEWART: Well, the re-opening is having -- is having some difficulty in the sense that the hope was that if China opened up, people would be able to move to and from.

[14:59:57]

However, many countries, including South Korea and Japan, have placed some restrictions, whether it be about testing or visa requirements, for people from China to move to and from. So it is a bit complicated.