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Early Start with John Berman and Zoraida Sambolin

American Hostage Freed; The Hunt for ISIS; Michael Brown Funeral; Earthquake Rocks California

Aired August 25, 2014 - 04:00   ET

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

JOHN BERMAN, CNN ANCHOR: An American held hostage by terrorists for nearly two years finally freed. Peter Theo Curtis now out of danger this morning, as we learn how close intelligence officials are to finding the jihadist who murdered American journalist James Foley. The latest on both of these cases and a new advance ISIS is now making. Live team coverage ahead.

CHRISTINE ROMANS, CNN ANCHOR: A day of mourning in Ferguson, Missouri. Michael Brown's family preparing to say good-bye to the teenager shot and killed by police. Set to be buried today. We're going to show you the mood on the streets overnight.

BERMAN: And Northern California rocked by the strongest earthquake there in 25 years. The latest on the growing damage report, that is ahead.

Good morning, everyone. Welcome to EARLY START. I'm John Berman.

ROMANS: Welcome back, John Berman. Nice to see you.

BERMAN: Thank you very much.

ROMANS: I'm Christine Romans. It's Monday, August 25th, it's 4:00 a.m. in the East.

We begin with some good news concerning an American hostage overseas. Journalist Peter Theo Curtis freed by Islamic militants in Syria, after nearly two years in captivity. Now, U.S. officials said the 45- year-old Curtis was kidnapped back in October of 2012 by an al Qaeda- linked group known as al-Nusra. Now, Curtis is expected to be reunited with his family shortly. His release comes as friends and family of slain American James Foley held a massive remembrance Sunday in Foley's hometown of Rochester, New Hampshire.

CNN's Nick Paton Walsh live in London.

What can you tell us about Curtis and his release, Nick?

NICK PATON WALSH, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, it happened about 6:40 local time yesterday near an area called Golan Heights, between Israel and Syria. Interesting place to be released, so far away from where he was originally kidnapped in northern Syria, nearly two years ago. Held in Aleppo for a long period of time. I should point out, we just received a statement from another American

who he was held with in Aleppo. They shared a cell for nearly six months. And that cell mate, a man called Matthew Schrier did escape from the cell with the help of Theo, faced a nerve-wracking moment when he had to leave Theo behind, because Theo got stuck in the window that Matthew escaped through.

Matthew has now just released a statement to me earlier on, saying, "Theo and I were together for over six months but we never shared an august day during that time. Now, thank God we do." They are both now free, presumably in the United States soon. "This day will go down as one of the happiest of my life."

So, clearly, a relief, too, from that cell mate wracked by the guilt of having to leave Peter Theo Curtis behind. His family have released a statement, saying that they thank the U.S. and Qataris governments for assisting, along with a number of private individuals and negotiations around his release. They call it a humanitarian issue, but also said they are not fully aware of all the technical details.

A very lengthy time for an American to be held, and it's a key thing here, too, he was held by the al-Nusra Front, the Jabhat al-Nusra. They are too linked to al Qaeda. They are also described as a terrorist organization, but many analysts view them as softer, more moderate than ISIS who grotesquely beheaded American journalist James Foley last week.

So, there is potentially a red light here. And maybe at this stage, one of the more radical groups looking to improve their images in the West, and as a result, Peter Theo Curtis got out -- Christine.

ROMANS: All right. Nick Paton Walsh, thank you so much for that, Nick. Live in London for us this morning -- thanks.

BERMAN: It appears a trail of accent clues could lead to the identity of the terrorist who is seen beheading American journalist James Foley, in a video released by ISIS. Britain's ambassador to the United States telling CNN intelligence officials are using every technological tool at their disposal.

(BEGIN VIDEO CLIP)

PETER WESTMACOTT, BRITISH AMBASSADOR TO THE U.S.: I think that the British media this morning are speculating that we are close to identifying who this guy is. And you might have seen that my foreign secretary for the parliament said yesterday, we're putting a great deal of resources into identifying this person. I think we're not far away from that. We're putting a lot into it, and there's some very sophisticated technologies, voiced identification and so on which people can use to check who these people are.

(END VIDEO CLIP)

BERMAN: Meantime, ISIS is on the march in Syria and Iraq. U.N. officials say a town in northeast Iraq is under siege and they fear people could be massacred. CNN's Jomana Karadsheh live in Baghdad with the latest.

Good morning, Jomana.

JOMANA KARADSHEH, CNN CORRESPONDENT: Good morning to you, John.

This town, the town of Amerli, that is northeast of Baghdad, has been surrounded, we are told by residents, by ISIS fighters for about 74 days now, really dire humanitarian situation in that city. If you remember back in June, when ISIS was making advances into Iraq, it also moved into that pre-dominantly Sunni province of Salahuddin. They took about three dozens villages close to the town of Amerli, and they tried to enter Amerli, which is -- its residents are 18,000 minority group Shiite Turkmen, who are in real danger if ISIS moves into the town.

For 74 days now, they have been able to fight off ISIS and stop them from entering their town. But they are running low on supplies. It has been cut off from the rest of the province, the rest of the country.

Food supplies are running low. They're not able to get medical supplies. Power is cut. They don't have water. They're drinking water out of wells.

Air drops by the Iraqi military have been very few, we're told. They picked up some of really emergency cases for evacuations and dropped some food. But nearly not enough for what this town needs.

The U.N. warning that unless something is done to stop ISIS from entering, Amerli, this could really turn into a massacre.

BERMAN: Gains in Iraq, gains in Syria as well, a key air base in Syria falling to ISIS.

Jomana Karadsheh in Baghdad, thanks so much.

ROMANS: The family of James Foley has now released a final message they received from their son who was just executed by ISIS terrorists. Foley dictated the letter to a fellow hostage who memorized it and relayed it to Foley's family after he was released. The family posted it Sunday on the "Free James Foley" Facebook page.

It says, in part, the games and teaching each other have helped the time pass. They have been a huge help. We repeat stories and laugh to break the tension. I have had weak and strong days. We're so grateful when anyone is freedom, but, of course, yearn for our own freedom. We try to encourage each other and share strength."

BERMAN: In Missouri, Michael Brown being laid to rest today. Three White House officials will attend the funeral. It has been just over two weeks since the unarmed teenager was shot to death by Ferguson, Missouri police officer Darren Wilson. Days of violent protests have given way to calm in that city.

At a rally on Sunday, Michael Brown's father said he just wants things -- he just wants one thing on the day he buries his son -- peace.

Let's get more now from CNN's Nick Valencia in Ferguson.

(BEGIN VIDEOTAPE)

NICK VALENCIA, CNN NATIONAL CORRESPONDENT: Peace in Ferguson, at least for the moment, seems to have been restored. On Sunday, Michael Brown Sr., the father of that 18-year-old unarmed Michael Brown was shot and killed by Officer Wilson made an emotional plea to the crowd in attendance for a day of silence, a day of respect, and to restore peace on the streets of Ferguson.

Here at the scene where Michael was shot and killed, you can see a memorial leading up to where his body laid for four hours before it was recovered by medical examiners. Just a couple of days, people began putting roses down leading up to where he was shot and killed.

Here at this scene and the neighborhood on Canfield, a lot of people are still showing up to show their solidarity for Michael Brown. A lot of people from out of state, people have driven from all across the country, different cities, different states, to show their respect and to make sure that this story is not lost. Largely, though, their eyes are focused on the funeral that will take place later today at 10:00 local time, where it is expected more than 5,000 people will come out to show and pay their respects for Michael Brown.

Nick Valencia, CNN, Ferguson, Missouri.

(END VIDEOTAPE)

ROMANS: This morning, Hillary Clinton taking some heat for apparently dodging questions about the shooting of Brown. Clinton has yet to comment on the shooting in Ferguson. After signing hundreds of books at a store in Westhampton, New York, Sunday, she was asked by two reporters for her reaction to the protest. She seemed to ignore both questions and then left the bookstore.

BERMAN: In Northern California, they are literally picking up the pieces this morning after a 6.0 earthquake shook that region early Sunday. California's Napa Valley suffered the worst damage. Governor Jerry Brown has declared a state of emergency there. Dozens of buildings in the city of city had been red-tagged as uninhabitable. At least 170 people suffered injuries, including a young child now in critical condition. There is major damage to the region's famed wineries.

And state officials say people there are hurting.

(BEGIN VIDEO CLIP)

LT. GOV. GAVIN NEWSOM, CALIFORNIA: There's a mythology about Napa that it's fancy wineries. But underneath that, there are a lot of folks here are very low-income that are going to need support.

REPORTER: Like some of the mobile homes that we saw on fire. You just were there today. NEWSOM: I was just there. I spent the last two and a half hours in the mobile homes. You know, there's one thing about the fires and the horrific images of those fires. But there are dozens and dozens of those mobile homes that are in cinder blocks that are literally off those, quote-unquote, "foundations." And you've got seniors in there that don't have families that are coming to pick them up right now and help them, that can barely get off the couch on a good day and now have their entire -- all their possessions are strewn all over the place. So, we need to be here for the long run.

(END VIDEO CLIP)

BERMAN: The cost of the damage from the quake, which is California's strongest in about 25 years, could top $1 billion.

ROMANS: They are living in a state known for its earthquakes, but still, most Californians don't have earthquake insurance. According to the California earthquake authority, only about one in 10 Californians have insurance to cover home and property damage. It's estimated the numbers are even lower in the areas affected Sunday. In Napa for example, as few as 6 percent have coverage.

In California, the average cost of earthquake insurance is 860 bucks a year. Experts say during lulls between earthquakes, homeowners forget the importance of insurance and insurance coverage. So, that's a big story there on CNN this morning.

Ten minutes past the hour, time for an EARLY START in your money. European stocks mostly higher. Asian stocks ended the day mixed. U.S. stocks futures pointing higher right now. Stocks not too far from record highs.

While you were gone, John, on vacation, stocks continue to hit records.

BERMAN: That's an argument then for me going back on vacation.

ROMANS: I'm bullish --

BERMAN: There's a financial imperative for me to leave the workplace.

Back to work for the president today. He heads back to the White House after his two-week working vacation. This morning, the president will meet with Secretary of Defense Chuck Hagel. Obviously, a lot to discuss there.

One o the chief issues now facing the president, the growing threat from ISIS, obviously spotlighted by the group's videotaped execution of American journalist James Foley. The president was criticized for often golfing during his vacation given the situation with ISIS and the violent protests in Ferguson, Missouri.

ROMANS: All right. Happening now, the war in Gaza escalating. Israel increasing its airstrikes. We are live in Jerusalem with the very latest, right after the break.

(COMMERCIAL BREAK)

BERMAN: With each passing day, Israel and Hamas seem to move further away from any hope of peaceful resolution to the conflict in Gaza. Israeli airstrikes pounding Gaza City on Sunday. At least 16 people who were reportedly killed in the strikes, including the man in charge of the finances for Hamas. Israel claimed Hamas fired more than 100 rockets on Sunday.

CNN's Karl Penhaul following developments live from Jerusalem.

Good morning, Karl.

KARL PENHAUL, CNN CORRESPONDENT: Good morning.

Certainly, the Israeli military and Gaza militants have continued to trade fire over the last 24 hours, and that after Israeli Prime Minister Benjamin Netanyahu promised to inflict heavy damage on Hamas for its actions over the last few weeks.

Now, the Palestinian health authorities says that among the 16 casualties, as you point out, a mother and her child. The Israeli military says that one of its targets of those strikes was one of the heads of the Hamas financial structure. It says a hit was confirmed, but doesn't say outright that that financial chief was killed and there has been no confirmation from the Hamas side.

On the Israeli side, one of the main targets inflicted by Hamas about mid-afternoon yesterday, in fact, was the Erez border crossing, one of the main crossings between Israel and Gaza. They reigned down more than 23 mortars on that position. Four people were injured there, according to Israeli authorities.

Now, also over the weekend, Sunday was due to be the start of a new school year in Gaza for half a million kids, they can't go back to school just yet because the schools are being used as shelters for more than 200,000 displaced Palestinians and also the football season was canceled here in Israel.

There is some chatter this morning, a media buzz, that may be new cease-fire talks in the works. We are keeping a close eye on that, John.

BERMAN: But, Karl, these talks, which are started and stopped, and started and stopped I think three times over at least in Cairo, what hope do they have now that this next round, if this chatter you are hearing is correct, what hopes do they have that they may work?

PENHAUL: Well, in terms of that chatter, just to bring you up to speed on that, there is no confirmation from the Israeli government that any new cease-fire talks are in the works. But we did see on Islamic jihad TV in Gaza, they were quoting unnamed sources saying the Egyptian authorities may come out something this evening with a new cease-fire proposal. It's very difficult to see how they would have any success given the level of demands and the depth of difference between both sides here. But it seems that if, according to the statement on Islamic Jihad TV,

that perhaps the first step would be to open up border crossings, cease-fire and then discuss the nuttier (ph) problems later down the line. That could be some formula that may work, John.

BERMAN: All right. Karl Penhaul for us in Jerusalem -- thanks so much, Karl.

ROMANS: All right. The deadly Ebola epidemic keeps spreading across Africa. Officials in Congo say two people had been diagnosed with the deadly disease. Health minister says the deaths occurred in an isolated area and the disease seems to be a different strain to West Africa.

Meanwhile, in Liberia, there aren't enough aid workers to help with people who come down with the disease. Officials say they are in desperate need to find health workers and experts in disease management.

In Sierra Leone, the practice of hiding Ebola victims now banned under the law. Anyone violating the measure could face up to two years in jail. And a British health care worker who tested positive for Ebola there was flown to London Sunday night. He caught the virus while caring for patients at a hospital where 15 nurses have already died. An estimated 2,600 people in West Africa have been infected with Ebola since March.

BERMAN: Eighteen minutes after the hour.

An American Airlines flight grounded by a bomb threat made on Twitter. Why hackers were targeting this particular plane. We'll tell you after the break.

(COMMERCIAL BREAK)

ROMANS: A scare in the skies over Arizona. An American Airlines flight forced to land at Phoenix Sky Harbor International Airport just before noon Sunday. The move came after authorities got word of a tweet claiming there were explosives on board shortly after takeoff in Dallas.

Now, that tweet reportedly sent out by hackers targeting Sony's online entertainment president who was on that flight. The plane was searched. After several hours, the aircraft was cleared to continue to --

BERMAN: Elaborate undeserving.

ROMANS: Yes.

BERMAN: Florida officials this morning searching for more bodies in the Atlantic. Four men were found dead on Sunday off the coast of Hollywood, Florida. Coast Guard officials flying over the scene spotted seven bodies, three could not be found when they arrived at the scene by boat. At this point, it is not clear who the victims are or if they were traveling on a boat or a raft. ROMANS: Los Angeles Police arresting a person of interest in a string

of fatal shootings. He was captured Sunday trying to leave the house where he barricaded himself. The three random attacks begun when a gunman opened fire on a family driving to church. One passenger was killed, the other four wounded, two other people were shot and killed less than an hour later. Witnesses reported seeing two men in an SUV at the shootings.

BERMAN: Another security breach at New York City's Brooklyn Bridge. Police arresting a thrill seeker after he took a stroll Sunday on the bridge's suspension beams. Probably not a good idea. Twenty-four- year-old Yaroslav Kolchin was charged with criminal trespass and disorderly conduct. Kolchin got past security that's been allegedly on high alert since last month when trespassers replaced the flag that had been flying over the bridge.

ROMANS: Acclaimed actor/director Richard Attenborough has died. His career on both sides of the camera spanned six decades. He won an Academy Award for directing "Gandhi" in 1982. He appeared in many major films, but may be best remembered for his role as the billionaire behind "Jurassic Park". He'd been in poor health for sometime. He was 90 years old. And what, gosh, what a career.

BERMAN: Yes. Best remembered for being a phenomenal actor and director. I loved him as Big X in "The Great Escape", the greatest World War II movie of all time.

ROMANS: Oh, yes. And "Gandhi" what an achievement.

BERMAN: I can watch that again and again and again. Breathtaking.

Twenty-four minutes after the hour.

Some of the biggest and brightest stars were on hand for MTV's Video and Music Awards.

That is Beyonce. That is Beyonce, I am told by producers. I'm sure that is, in fact, Beyonce. She was honored with a Vdeo Vanguard Award.

And it would not be the VMAs without a couple of must-see moments. Rapper Nicki Minaj suffered a wardrobe malfunction -- I'm sure it was not planned -- During a performance in the opening number. And rapper Common took a moment to honor Michael Brown, the teen killed by a police officer, of course, in Ferguson.

A couple big winners on the night, including Ariana Grande, who took home the award for best hot video, and Miley Cyrus snagged top honors winning video of the year for a video you may have seen called "Wrecking Ball".

ROMANS: But thank you for not showing the hammer.

BERMAN: It was one year ago. It was one year ago that she did that thing on the thing and it became a thing. It really did.

ROMANS: That's something.

BERMAN: Yes, it's something.

ROMANS: All right.

Twenty-five minutes past the hour. An American journalist held by terrorists for nearly two years. He is free this morning. What we're learning about the terrorist group who release this man, Peter Theo Curtis, and how this peaceful solution may have been negotiated, after the break.

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