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CNN International: FAA Chief Admits Agency "Too Hands-Off" in Oversight of Boeing; Apple is Now the Most Valuable U.S. Company; Biden Gaining Support Among Older Voters; Russian Navy Pounded Near Home While Flexing Muscle Abroad; Pope Meets with Comedians at the Vatican. Aired 4:30-5a ET
Aired June 14, 2024 - 04:30 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[04:30:00]
MELANIE ZANONA, CNN CAPITOL HILL REPORTER: -- Crow's camp continues to insist that the two of them have never discussed matters before the Supreme Court.
But this is, of course, adding to the growing scrutiny on the Supreme Court, especially as there are other controversies swirling amongst other justices, including Samuel Alito and his wife.
Now, in the wake of all these controversies, Democrats are renewing their calls to reform the Supreme Court. Senate Democrats did try to pass a bill on the Senate floor that would impose a code of ethics on the Supreme Court, but they were denied by Republicans.
Melanie Zanona, CNN Capitol Hill.
(END VIDEOTAPE)
MAX FOSTER, CNN ANCHOR: Now, the U.S. aviation watchdog says it is partly to blame for the safety problems at Boeing. FAA chief Mike Whitaker testified before the U.S. Senate Commerce Committee. That was yesterday, more than five months after a door plug blew off in mid flight on an Alaska Airlines flight, which put more scrutiny on Boeing.
Whitaker says the FAA didn't keep a close enough eye on the company.
(BEGIN VIDEO CLIP)
MIKE WHITAKER, FAA ADMINISTRATOR: Let me also acknowledge the FAA should have had much better visibility into what was happening at Boeing before January 5th. FAA's approach was too hands off, too focused on paperwork audits and not focused enough on inspections. We have changed that approach over the last several months, and those changes are permanent.
(END VIDEO CLIP)
FOSTER: Well, Boeing has faced a series of investigations in recent months, including over the door plug incident and its manufacturing practices as well. And when companies go to Washington to testify before Congress,
they're often scolded for doing something wrong. But on Thursday, Microsoft president Brad Smith went to Washington with a voluntary mea culpa for some recent cybersecurity failures.
(BEGIN VIDEO CLIP)
BRAD SMITH, PRESIDENT, MICROSOFT: As you can imagine, you get a report, you look at it, it's difficult to read. You sort of think, how are you going to react? And when I sat down with Satya Nadella, Microsoft's chairman and CEO, we both resolved immediately that we would react without any defensiveness, without equivocation, without hesitation. And we would instead use this report to make Microsoft and the cybersecurity protection of this country better. That's our goal.
And part of that, frankly, involves accepting responsibility, apologizing to those that were impacted.
(END VIDEO CLIP)
FOSTER: Microsoft was at the center of two widespread hacking campaigns in the last year, allegedly carried out by Chinese and Russian spies. A report issued by the U.S. Cyber Safety Review Board found that the tech giant committed a, quote: Cascade of avoidable errors that allowed hackers to breach Microsoft's network, including the email accounts of senior U.S. officials.
Now, Apple edged past Microsoft on Thursday to become the most valuable company in the U.S. Apple stock soared following announcements this week that its newest iPhones will include generative AI features. Apple's market cap closed at roughly three point $3.29 trillion on Thursday, just beating Microsoft's 3.28 trillion. Earlier this month, the artificial intelligence chip maker, NVIDIA, surpassed Apple to briefly become the second largest public U.S. company. NVIDIA now ranks third behind Microsoft.
Elon Musk has won the largest CEO pay package in U.S. corporate history from Tesla shareholders, and the numbers are pretty eye watering. CNN's Clare Duffy has the latest on the historic award.
(BEGIN VIDEOTAPE)
CLARE DUFFY, CNN BUSINESS WRITER: The majority of Tesla shareholders have voted to approve CEO Elon Musk's massive compensation package, as well as a bid to move the company's state of incorporation from Delaware to Texas. The vote could mark a big payday for Elon Musk. The compensation package includes options to buy Tesla stock at a reduced price that's worth around $50 billion.
It also marks a big win for Musk. Shareholders originally approved the package back in 2018. But a Delaware judge threw it out earlier this year after a shareholder lawsuit said the board had failed to prove that it was fair.
But the board has argued that the pay was necessary to keep Elon Musk engaged in his duties at Tesla when his attention could otherwise be dedicated to his many other companies, including SpaceX and the social media platform X. And it appears that most shareholders agreed. Tesla shares ended the day up nearly three percent on Thursday following the vote.
It's a sign that investors were happy to be paying up to keep Musk happy. It's also a sign of continued confidence in Musk's leadership, despite the sales slump that Tesla has experienced in recent months. But it's not guaranteed that just because Musk won this vote, he will get this payday as the issue is still signed -- is still tied up in Delaware courts.
But it certainly gives Musk a confidence boost and potentially gives Tesla lawyers some points of argument as they defend this compensation package for Musk in court.
Clare Duffy, CNN, New York.
(END VIDEOTAPE)
[04:35:00]
FOSTER: Now, former U.S. president Donald Trump received an early birthday present with a handshake from frequent critic Senate minority leader, Mitch McConnell. The former president also a birthday cake from Republicans on his first visit to Capitol Hill since the violent events of January the 6th, 2021.
(BEGIN VIDEO CLIP)
DONALD TRUMP, FORMER U.S. PRESIDENT, 2024 PRESIDENTIAL CANDIDATE: And here's what the wish is. And that's something you do in this room.
(END VIDEO CLIP)
FOSTER: Trump is set to campaign in Detroit over his birthday weekend in an effort to win the support of Black voters.
Meanwhile, the Biden campaign going after the senior vote in the battleground state of Michigan and U.S. first lady Jill Biden is fighting back against critics who say her husband is too old for the presidency.
(BEGIN VIDEO CLIP)
JILL BIDEN, U.S. FIRST LADY: This election is most certainly not about age. Joe and that other guy are essentially the same age. Let's not be fooled. Joe isn't one of the most effective presidents of our lives in spite of his age. But because of it.
(END VIDEO CLIP)
FOSTER: This comes as President Biden is gaming with voters of his own age. Jeff Zeleny has the latest.
(BEGIN VIDEOTAPE)
GUSSIE FARRIS, BIDEN SUPPORTER: I think because Trump is big and loud, he doesn't come off as old as maybe Biden does.
JEFF ZELENY, CNN CHIEF NATIONAL AFFAIRS CORRESPONDENT (voice-over): At 86, Gussie Farris spends no time worrying about the ages of the oldest American presidential candidates. For those who do, this loyal President Biden supporter has this to say about Donald Trump.
FARRIS: He's way less capable in the in the brain area.
ZELENY: In the brain area. A delicate way to put it.
ZELENY (voice-over): As Trump turned 78 on Friday, just three years younger than Biden's 81 age is an unmistakable part of the race. But the Biden campaign is suddenly embracing it in a different way.
FARRIS: I'm a senior and I vote.
ZELENY (voice-over): Turning to Farris and other seniors to build a critical piece of his coalition.
LINDA VANWERDEN, BIDEN SUPPORTER: I never thought I'd be one of those people holding up a political sign or being involved, but I can't sit back.
Thank you.
ZELENY (voice-over): Linda VanWerden, a retired real estate agent, is now training Democratic volunteers.
VANWERDEN: Get out the vote.
ZELENY (voice-over): Becoming politically active for the first time after Trump won in 2016.
VANWERDEN: We could determine who sits in the White House.
ZELENY (voice-over): Grand Rapids and surrounding Kent County is a bellwether within Battleground, Michigan. Biden won here and statewide in 2020 after Trump narrowly carried both four years earlier. Biden is working to become the first Democrat in nearly a quarter century to win those 65 and older in an election where baby boomers now comprise a wide majority of the senior vote.
KIM GATES, CHAIR, KENT COUNTY DEMOCRATIC PARTY: They're at a point in their life where they've seen how politics has changed and recognize that it's a priority for them.
ZELENY (voice-over): As other parts of the Biden coalition are fraying, the campaign is putting seniors front and center.
UNIDENTIFIED FEMALE: Energize your neighbors, invite them out to pickleball and to vote at the same time.
ZELENY (voice-over): Yet deep disappointment weighs heavy on other seniors here like Barbara Howard, who voted for Biden four years ago, but won't this time. BARBARA HOWARD, MICHIGAN VOTER: I feel betrayed right now. I'm not going to vote for the president. The Palestine thing is it's a red line and his he's not he's not there.
ZELENY (voice-over): Judy and Nick Herrick, both 80 and retired, say Biden's steady hand inspires them to volunteer.
JUDY HERRICK, BIDEN SUPPORTER: What do they say that 80 is the new 60?
ZELENY (voice-over): Often canvassing and registering younger voters in Grand Rapids.
J. HERRICK: What's exciting for me is the opportunity for seniors to talk with young folks and say, can we really look at this? What does this mean to you?
ZELENY (voice-over): And defending the president's age?
NICK HERRICK, BIDEN SUPPORTER: I look at his thinking and his approach to things looks pretty good to me, especially when you view it in contrast to what the alternative is.
ZELENY (voice-over): That contrast with Trump is what the Biden campaign is investing millions on ads like this --
UNIDENTIFIED MALE: Drinking bleach, to tear gassing citizens and staging a photo op.
ZELENY (voice-over): -- that delight voters like Farris.
FARRIS: And I love the one where he talks about how he drank drink bleach. That'll cure COVID holding up the Bible. How dumb was that?
The senior generation values and character are important to us.
ZELENY: Older voters have long been one of the most prized slices of the electorate. They're reliable. They actually turn out to vote.
Many of the voters we talked to here were not concerned about the president's age. They said they see it as an asset. The question, of course, how does this fit into the Biden coalition for all the fraying pieces among young voters and voters of color?
Could these seniors be a silver lining?
Jeff Zeleny, CNN, Grand Rapids, Michigan.
(END VIDEOTAPE)
FOSTER: Now, Russia's Navy flexing its muscle overseas, but gets a bitter dose of reality close to home. That story's just ahead.
Plus, an alleged secret spy mission snooping on Russian tanks at the behest of the CIA. Russia lays out what the U.S. says are bogus allegations against Wall Street Journal reporter Evan Gershkovich.
[04:40:00]
(COMMERCIAL BREAK)
FOSTER: Argentina is seeking criminal charges against protesters following Wednesday's clashes with police. They happened during Senate debates on a sweeping reform. A package central to President Javier Milei's economic overhaul scheme.
Dozens of people have been detained so far. The country's security ministry says it anticipates more arrests as more demonstrators are identified.
Argentina's Senate narrowly approved Mr. Milei's key reform bill and fiscal package on Wednesday. But not without significant concessions. It now heads back to the lower chamber of deputies for another review.
NATO's defense ministers are meeting in Brussels as we speak, trying to hammer out a new agreement on future aid to Ukraine. The deal is expected to give the alliance greater control over future aid and the training of Ukrainian troops. It's happening whilst Russia's navy is making a show of force in Cuba.
But as Fred Pleitgen explains, Moscow's fleet is getting a reality check closer to home courtesy of Ukraine.
(BEGIN VIDEOTAPE)
FREDERIK PLEITGEN, CNN SENIOR INTERNATIONAL CORRESPONDENT (voice- over): Ukrainian sea drones racing to attack a Russian warship near Crimea in the Black Sea. The cheap unmanned vessels have allowed Ukraine to decimate Vladimir Putin's Black Sea fleet.
Their weapons are not designed to deal with such small sea drones, the soldier says. In most cases, they use anti-ship guns.
It's a far cry from the power Moscow is trying to project not far from the U.S.'s shores. Sending some of their most advanced warships to Cuba.
Russia's Ministry of Defense saying that the frigate and a nuclear- powered sub, quote: Practice the use of high-precision missile weapons by computer-based maritime simulation at the ship-based groupings of a mock enemy.
Vladimir Putin has invested heavily in Russia's navy, which now has a permanent base in Syria and boasts hypersonic missiles.
[04:45:03]
It's no paper tiger, but also not an invincible force as Ukraine has shown. Ukraine's sea drones, as well as sabotage and air-launched missiles, have destroyed about one-third of Russia's Black Sea fleet since the spring of 2022, Ukraine says.
Including large landing ships like this one, blown up in Crimea at the end of last year, and submarines destroyed in a dock. The Russians have even lost the flagship of the Black Sea fleet, the Moskva, to what Kyiv says was an attack by Ukrainian-made missiles.
And the fleet's headquarters in Sevastopol was struck by missiles last year. The repeated humiliations pushing Russian ships further and further away from Ukraine and eventually leading to the dismissal of Russia's navy chief in March.
Not so long ago, Russian state media would celebrate the navy's single aircraft carrier, the Admiral Kuznetsov, the jewel in the crown. But the ship has long been plagued by mechanical problems and has been in dock for years in Murmansk. Some Western analysts predict it will never set sail again.
Despite Putin's glorification of Russia's naval prowess, many of its warships appear vulnerable to both air and sea attacks and lack the technology to compete with Western navies or even cheap maritime drones made in Ukraine.
Fred Pleitgen, CNN, Munich, Germany.
(END VIDEOTAPE)
FOSTER: Wall Street Journal reporter Evan Gershkovich will likely be moved from Moscow to the Russian city of Yekaterinburg soon. That's from the top U.S. official on hostages after Russia approved the reporter's indictment on espionage charges. The decision amounts to a go-ahead to put him on trial more than a year after he was detained.
Prosecutors now claim they have evidence he was spying on a Russian tank factory for the CIA. But Gershkovich and the newspaper vehemently deny his charges.
Taylor Swift's fans did more than just shake it off at her Edinburgh concert last week. The off-the-risk scale details coming up. You won't believe it.
[04:50:00]
(COMMERCIAL BREAK)
FOSTER: Pope Francis heading to the G7 Summit in southern Italy today. Earlier, he met at the Vatican with more than 100 comedians from 15 countries. Whoopi Goldberg, Chris Rock, Jimmy Fallon and Conan O'Brien amongst those who are invited to that.
The Pope is said to be known for his sense of humor and often jokes with the people he meets. And we're with one of those people he does meet, Christopher Lamb. Is he funny?
CHRISTOPHER LAMB, CNN VATICAN CORRESPONDENT: Yes, he is. I've joked with him a few times. He has a very good sense of humor.
He often tells people, please pray for me, not against me. That's something he told the comedians today. It was a kind of conclave of comedians.
FOSTER: And why was he hosting them in that way? LAMB: Well, I think he wanted to reach out to the world of comedy and
wider culture. That's something that he's tried to do throughout his pontificate.
And you know, he wanted to emphasize to them the importance of a sense of humor, the importance of making people smile. He said to them in the meeting, in the midst of so much gloomy news, you have the power to spread peace and a smile. So trying to emphasize that importance of comedy as a way of making the world a better place, broadly speaking.
Now, you mentioned that Whoopi Goldberg was amongst those there. She has met the Pope before and she said that she's offered him a cameo in Sister Act 3, so.
FOSTER: Do we know his response?
LAMB: Apparently, he does know Sister Act, but I'm not sure if he's committed to that.
FOSTER: Because I wouldn't have thought, you know, he watches many of these shows.
LAMB: No, he doesn't watch TV, but he does have an instinctive understanding of humor.
FOSTER: Yes.
LAMB: And I think he appreciates the work of comedians.
FOSTER: And if he can connect with them, presumably it widens his audience, effectively.
LAMB: Absolutely. And that's been the kind of hallmark of the Francis papacy, to connect with people, to share joy and smiles.
FOSTER: Just briefly, as we look ahead to his meeting with the world leaders at the G7, what's he hoping to get out of that?
LAMB: Well, he's going to be the first Pope to ever go to a G7, and he's going to be addressing the topic of AI, something he's concerned about. He wants to see regulation of artificial intelligence. He'll also be meeting with President Biden at the G7, so --
FOSTER: On the same issue?
LAMB: Same issue, but also, I imagine, on global conflicts and other important topics.
FOSTER: OK, Christopher, thank you so much.
The Florida Panthers are just one win away from hoisting the Stanley Cup. They beat the Edmonton Oilers 4-3 on Thursday. In the second period, Sam Bennett scored goal number three for the Panthers. Aleksander Barkov added another goal less than two minutes later. Edmonton cut the deficit to one in the third period, but it just wasn't enough. Game four is scheduled for Saturday night on the Oilers' home ice.
Hosts the USA have the chance to progress from the group stage in the T20 Cricket World Cup. They're scheduled to face Ireland in Florida Friday morning local time and will progress to the final eight with a win. They previously notched up a famous upset against powerhouse Pakistan. Undefeated India are, though, through after beating the U.S. team on Wednesday.
Round one of the U.S. Open is in the books, with two golfers tied for the lead at five under par. World number three Rory McIlroy is looking for his first major crown in ten years. The 35-year-old from Northern Ireland matched the tournament's lowest score ever at the Pinehurst course with a 65. American Patrick Cantlay did the same. He poured in six birdies to shoot under 70 for the first time in nine U.S. Open appearances.
And world number one Scotty Scheffler didn't have such a good day. The tournament favorite finished one over par at 71 and tied in 34th position.
And stories in the spotlight.
[04:55:00]
Disney has announced that a 17-year-old Australian actress of Samoan heritage, Catherine Laga'aia, will star in the upcoming live-action version of the hit movie "Moana." Laga'aia will star alongside Dwayne Johnson, also known as The Rock. He'll play Maui, the character he voiced in the animated film. Disney says the movie will celebrate the island's communities and traditions of Pacific Islanders.
And it seems Taylor Swift is in her earthquake era. The video of the megastars Edinburgh show on Saturday doesn't do her fans justice, as they literally made the Earth move, according to the British Geological Survey. As a matter of fact, earthquake readings were detected almost four miles from Murrayfield Stadium on each of the three nights she performed there.
This isn't the first time Swifties have made an earth-shaking impact, of course. Last year we reported that Taylor Swift fans caused seismic activity equivalent of a 2.3 magnitude earthquake at her two shows in Seattle in Washington.
Kate Winslet lifting the veil behind one of the most famous on-screen kisses in Hollywood history.
The Oscar winner told Vanity Fair about the behind-the-scenes nightmare that went into shooting that memorable smooch with Titanic co-star Leonardo DiCaprio. Winslet said the tight corset, make-up, miscues and repeated takes left her looking like she was sucking a caramel bar. It wasn't all it was cracked up to be, she said. Still, she says it's no wonder every young girl wants to kiss DiCaprio.
Thanks for joining me here on CNN NEWSROOM. I'm Max Foster in London. CNN "THIS MORNING" up next after a quick break.
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