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Early Start with John Berman and Zoraida Sambolin

U.S. Embassy in Yemen Closed; Authorizing the War on ISIS; UAE Joins Airstrikes Against ISIS; Remembering Kayla Mueller; U.S. Planning "Cyber Intelligence Center"; Apple Worth Record $700 Billion

Aired February 11, 2015 - 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: A tragic turn in the war on ISIS. The White House, the family of Kayla Mueller say that she is dead. The family is in mourning as the president prepares new authorization in the war, and Middle Eastern allies step up their attacks. We're breaking down all the angles on this story coming up.

Good morning, everyone. Welcome to EARLY START. I'm John Berman. It's Wednesday, February 11th, 4:00 a.m. in the East. Christine Romans is off today.

We do have breaking news overnight. The United States closing down its embassy in Yemen. The State Department has evacuated dozens of diplomatic officials from its compound in Sana'a while urging all Americans to leave that country immediately.

There are growing concerns about security now that Shiite rebels have seized control of the Yemeni government, eliminating a key U.S. ally in the war on terror. The situation there is one of a political vacuum. There is concern there's a complete lack of control in that country right now.

The Shiite rebels who now control the country, they are anti-al Qaeda, but they are also anti-American. That creates a problem for the U.S. as they want to fight terrorism in that country.

Other news: this is the day President Obama could formally ask Congress to officially authorize the war against ISIS. His request will limit the type of ground forces the U.S. could deploy. And it comes on the heels of the shattering news that American hostage Kayla Mueller is dead.

The Pentagon revealed that U.S. commandos tried unsuccessfully to rescue her last summer. President Obama calls Kayla's death heartbreaking. He is defending his decision to reject ransom demands from ISIS for her release.

Let's get more now from senior White House correspondent Jim Acosta.

(BEGIN VIDEOTAPE)

JIM ACOSTA, CNN SENIOR WHITE HOUSE CORRESPONDENT: John, in that interview with "BuzzFeed", the president said speaking with the parents of these American hostages is as tough as anything he does, but he is standing by his administration's policy of not paying for the release of hostages. The concern -- and we've heard this repeatedly from inside the White House -- is they don't want to provide an incentive for ISIS or other terrorist groups to take more hostages. The other big reason we've gotten briefings on this, is that the payments made by for other governments for their hostages helps fund ISIS operations.

But the president essentially acknowledged to "BuzzFeed" that this rescue operation that he authorized last summer was aimed at freeing Kayla Mueller and the other hostages being held inside of Syria.

Here is more of what the president had to say.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: The one thing that we have held to is a policy of not paying ransoms with an organization like ISIL. And the reason is once we start doing that, not only are we financing their slaughter of innocent people and strengthening their organization, but we're actually making Americans even greater targets for future kidnappings.

So, you know, it's as tough as anything that I do, having the conversation with parents who understandably want, by any means necessary, for their children to be safe. And we will do everything we can short of providing an incentive for future Americans to be caught.

ACOSTA: As for the war on is, we're hearing from sources at the White House will unveil this new authorization for the war on ISIS as soon as tomorrow. It will get rid of the 2002 authorization for the war on Iraq and replace it with a measure that will be ISIS specific. Sources tell us that the authorization will have no geographic boundaries and will only last three years.

But on this key question of whether it will allow U.S. boots on the ground in combat, that is where it gets interesting. According to this latest proposal seen by lawmakers, the authorization will prohibit something called "enduring offensive combat operations". That would indeed, John, provide some latitude for the president to commit ground forces inside of Iraq to take on ISIS -- John.

(END VIDEOTAPE)

BERMAN: Our thanks to Jim Acosta at the White House.

During offensive ground operations, keep your eye on that because that will be where the fight is in Congress.

Meanwhile, a new round of airstrikes overnight targeting ISIS positions in Syria. Not from the United States but from Jordan and the United Arab Emirates. This marks the first time that the UAE has engaged in combat missions against ISIS since late last year. The help is needed.

A top U.S. counterterrorism official warns that ISIS is recruiting Westerners at an unprecedented rate. There are now 20,000 fighters from 90 nations who have joined the ISIS terrorists on the battlefield including an estimated 150 Americans.

(BEGIN VIDEO CLIP)

ADMIRAL JOHN KIRBY, PENTAGON PRESS SECRETARY: This is one of the real threats about this group is their foreign fighters. These are folks that come in with other passports, other visas and then can perhaps export some of this terror back to their home countries, which is one other reason why we have to take the threat so seriously.

(END VIDEO CLIP)

BERMAN: I want to bring Jomana Karadsheh, live from Amman, Jordan.

Jomana, the ranks of ISIS still growing.

JOMANA KARADSHEH, CNN CORRESPONDENT: Definitely, John. And this is something that is of concern here to this country and other Arab nations. As you mentioned, the United Arab Emirates resuming airstrikes, announcing its F-16 fighter jets carried out strikes against ISIS.

Now, these strikes were carried out by its F-16 squadron that it moved over the weekend and stationed here in Jordan as part of what it said solidarity with this country that is now stepping up its fight against ISIS as we have seen following that brutal killing of the Jordanian pilot last week. It does seem to have galvanized the coalition, especially Arab nations like Jordan and now the United Arab Emirates that is helping Jordan with this fight.

This country has said that it will continue the fight against ISIS not only to degrade the capabilities of the group, but they are determined now, they say, to destroy ISIS. And in the words of the chief of Jordan's air force, to wipe the group off the face of the earth.

But, John, Jordan remains a small country. It does have a capable military, but it says it does need all the support it can get financially and militarily whether from other Arab nations like we're seeing now from the United Arab Emirates, other Gulf nations, or the United States and members of the international coalition, John.

BERMAN: Jomana Karadsheh for us in Amman, thanks so much, Jomana.

U.S. intelligence officials say that ISIS is now plotting to stage more kidnappings in countries such as Jordan and Lebanon. That coming as the Pentagon reveals that ISIS is holding at least one more American hostage. They have not revealed an identity.

In Arizona, friends and family trying to cope with the death of aid worker Kayla Mueller. She is being remembered as a young woman who took extraordinary measures to help others.

Ana Cabrera in her hometown of Prescott, Arizona.

(BEGIN VIDEOTAPE) ANA CABRERA, CNN CORRESPONDENT: John, this is a community in mourning. They've set up this makeshift memorial here in Prescott, Arizona, paying tribute and honoring the life and legacy of Kayla Mueller, something that was so important to her family upon learning the news of her death.

We now know the family found out over the weekend in communication with ISIS that Kayla was, indeed, dead. We understand the proof came in pictures.

But how she died is still not known. What's important now for the family is keeping her memory alive. They want the world to know that she really did have a servant's heart and died doing what she loved, serving those who were suffering.

She spent time here in this community serving nonprofits. She traveled the world doing humanitarian work in India, Israel, the Palestinian territories and lastly in Turkey and Syria, where she helped those Syrian refugees who were fleeing the Syrian civil war.

And her family pointed out that while she has died, her message is now alive and out there. The world is focusing on what she felt was most important, and that provides some comfort.

ERYN STREET, CLOSE FRIEND OF KAYLA MUELLER: I'm not yet sure how to live in a world without Kayla, but I do know that we're all living in a better world because of her.

CABRERA: We know the president has spoken by phone with Kayla Mueller's parents, sending his condolences, and really commending the selfless work Kayla did while pledging to relentlessly pursue those who had a hand in her death.

Right now, the focus is bringing her body back home so that she can rest in peace surrounded by those who love her and bring closure to the family and this entire community -- John.

(END VIDEOTAPE)

BERMAN: Sounds like a remarkable young lady. What a loss.

Our thanks to Ana Cabrera in Prescott.

The Obama administration is planning to create a cyber intelligence center to deal with digital attacks such as the one that crippled Sony Pictures. Well, it's something of a model of the National Counterterrorism Center, which was created after September 11th. Homeland Security officials admit the government response to hackers falls well short of the response to more conventional terrorist attacks. It needs to be upgraded quickly.

The House is expected to approve construction of the Keystone oil pipeline today. The measure has already passed the Senate, sets up a showdown with President Obama. He has promised to veto the bill, insisting the State Department needs to make its final decision -- finish its final review on the project. Twenty-eight House Democrats join Republicans to back the project. They do not appear to have enough votes to override the imminent presidential veto.

The president is set to announce he is bringing back nearly all of the 1,300 U.S. soldiers that were sent to West Africa to fight the Ebola outbreak. They will be home by April 30th. The number of new Ebola cases has dropped to about 150 per week. That figure was more than 1,000 per week last fall. The virus has claimed nearly 9,000 lives.

Let's get an early start on your money right now. Cristina Alesci is here with that.

CRISTINA ALESCI, CNN BUSINESS CORRESPONDENT: Well, stock futures right now looking a bit cautious, that's because investors have a lot to digest this morning.

First off, oil prices are sliding once again. U.S. crude oil fell almost $3 a barrel yesterday to $50. Also, investors are watching big developments coming in. The standoff between Greece and its creditors, European finance ministers are holding an emergency meeting in Brussels later today to discuss the future of Greece's bailout.

But one bright spot in the market: Apple just became the first U.S. company worth $700 billion. More evidence that Apple is truly in a league of its own. The next largest company is ExxonMobil, and it's worth about half that.

John, this valuation has been building for a while now. The stock has been up 65 percent in the last year alone. And in January, the company reported its best quarter ever. And that was off the backs of the iPhone 6 sales which are extremely popular, especially in Asia, which is becoming a huge market for Apple.

BERMAN: Yes, you don't have to be a business expert to know that $700 billion, that's a lot of money.

ALESCI: It is. It is. It is. And Tim Cook is really having a moment right now. You know, a lot of people had doubts about him being able to follow in Steve Jobs' legacy, and he's pulling through.

BERMAN: It's a $700 billion moment. That's a good one.

All right. Cristina, thanks so much.

Two big media shake-ups this morning. Wow. NBC News suspends Brian Williams without pay for six months. Jon Stewart says he's stepping down from "The Daily Show." We're back with both of these big moves, next.

(COMMERCIAL BREAK)

BERMAN: Major news in the media world this morning. NBC anchor Brian Williams has been suspended for six months without pay. The top-rated network anchor taken off the air for embellishing his role in a helicopter attack in Iraq. NBC News is also reviewing other stories that Williams reported on.

Here's a statement released by NBC Universal's chief executive, Steve Burke. He says, "By his actions, Brian has jeopardized the trust millions of Americans place in NBC News. His actions are inexcusable, and this suspension is severe and appropriate."

The network has announced that Lester Holt will fill in for Williams while he serves his suspension.

That's not all that's going on in the media world. Jon Stewart says he is leaving "The Daily Show" after 15 years as host. Stewart delivered the news during the taping of his show on Tuesday.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: This morning, third in line --

JON STEWART, HOST OF "THE DAILY SHOW": It's been the honor of my professional life. And I thank you for watching it, for hate watching it, whatever reason you were tuning in for, it -- you get in this business with the idea that maybe you have a point of view and something to express. And to receive feedback from that is the greatest feeling you can ask for. And I thank you.

(END VDIEO CLIP)

BERMAN: Stewart plans to step down sometime later this year. Now, this announcement comes just a month after Stephen Colbert, another huge figure at Comedy Central, ended his run on "The Colbert Report." He will be taking over, of course, for David Letterman in September.

The American sniper murder trial gets under way in just a few hours in Stephenville, Texas. Former Marine Eddie Ray Routh is charged with killing Navy SEAL Chris Kyle and his friend Chad Littlefield at a Texas gun range in 2013. Kyle, of course, is the subject of the film "American Sniper." Defense lawyers plan to argue Routh suffered from post-traumatic stress and was not in his right mind at the time of the killings.

Let's get more now from CNN's Ed Lavandera.

(BEGIN VIDEOTAPE)

ED LAVANDERA, CNN CORRESPONDENT: John, it was two years ago this month that Chris Kyle and Chad Littlefield were killed inside that countryside gun range, about 30 miles from Stephenville, Texas. Here in the town of Stephenville where the murder trial of Eddie Ray Routh, his accused killer, the accused killer of the American sniper, and Chad Littlefield, will be held.

Opening statements scheduled to begin here in Stephenville at 10:00 a.m. Eastern Time. And over the course of this trial that will last between two and three weeks, we're told, there will be a great deal of attention focused on Eddie Ray Routh's mental story and issues -- mental health issues and medical treatment that he received or did not receive, depending on your point of view.

It was Routh's mother who reached out to Chris Kyle about a month before the murders asking him to help her son. She had heard of the work that Chris Kyle was doing with veterans and she desperately reached out to him looking for help with his son who she said was struggling with mental health issues and PTSD. Routh had served four years in the marines. He had done a tour of duty in Iraq and also a humanitarian mission in Haiti after the 2010 earthquake.

So, a great deal of attention will be focused on PTSD over the next couple of weeks. But Chris Kyle's wife Taya says that the issues of PTSD should not be a play, that that does not explain why Eddie Ray Routh would have killed her husband and Chad Littlefield.

So, there will be a great deal of testimony surrounding that, and that will be really the central focus of this trial -- to determine, as we've been told by the attorney of Eddie Ray Routh, he is pleading not guilty by reason of insanity. And they must convince this jury that Eddie Ray Routh did not know right from wrong at the time of these murders -- John.

(END VIDEOTAPE)

BERMAN: All right. Interesting. Ed Lavandera, thanks so much.

So, testimony resumes today at the Massachusetts murder trial of former NFL star Aaron Hernandez. It's been delayed for weather. The judge has granted his ex-fiancee, Shayanna Jenkins, immunity. She will be able to testify without implicating herself. Prosecutors believe that Jenkins followed instructions from Hernandez to dispose of the gun allegedly used in the shooting death of Odin Lloyd in 2013.

The Bobbi Kristina Brown case is now a criminal investigation. Police are still trying to determine how the daughter of the late Whitney Houston became unresponsive in a bathtub full of water. They questioned her boyfriend about bruises that were found on her chest. Bobbi Kristina remains in a medically induced coma at Emory University Hospital in Atlanta.

Some Alabama counties have initially dug in their heels in the defense of a federal judge in the U.S. Supreme Court have now begun issuing marriage licenses to same-sex couples. Many counties are refusing to do so following the direction of Alabama's chief justice. A federal court hearing is scheduled Thursday to clarify the situation and determine whether state judges will be forced to grant licenses to gay couples.

In Kansas, Governor Sam Brownback has issued an executive order to remove legal protections for gay, lesbian and transgender employees. That means state workers can now legally be fired, harassed denied a job based on sexual orientation or gender identity. Brownback says the expansion of laws to cover LGBT employees by the then-Governor Kathleen Sebelius in 2007 went too far. The ACLU calls the move a sad day for Kansas.

Happening now: peace negotiations to stop the war in Ukraine as fighting between the country's military and pro-Russian rebels intensifies. We're live with the very latest, next.

(COMMERCIAL BREAK) BERMAN: New this morning, is there a diplomatic breakthrough in the conflict in Eastern Ukraine? Negotiators reportedly reached a tentative deal for a cease-fire between pro-Russian rebels and the Ukrainian military overnight. The leaders of Russia, Ukraine, Germany and France could sign this agreement if there, in fact, is one as soon as today.

Nic Robertson joins us live from Minsk with the very latest.

Nic, what can you tell us?

NIC ROBERTSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, John, I think the mood at the moment is that the talks that were ongoing last night, local media saying they're still ongoing today. They are low- level talks, not involving the heads of state, the president of Ukraine, the German chancellor, the Russian president, and the French president who are still potentially expected here today.

So, these lower-level talks, there was one report of a breakthrough last night. That has subsequently been knocked down. And what we are hearing from the French foreign minister, what we've been hearing from the German foreign minister, both saying that there are still significant questions out there. So, there are no firm and hard details and no schedule yet for the arrival of those leaders in Minsk.

So, really, the question at the moment is can this lower-level meeting involving the Russians, the Ukrainians, the European monitors from the battlefields inside Ukraine and the Russian-backed separatists from Ukraine, that low-level meeting, can they hammer something out that will bring those leaders here?

They're talking about a cease-fire, pulling back heavy weapons, a buffer zone, political dialogue. It's still not clear which way this day will go yet, John.

BERMAN: Even clear if these presidents will actually meet today, Nic?

ROBERTSON: There still appears to be an intention to do that. From the authorities here in Minsk, there are no firm time lines for the arrival of those heads of state yet. They have, in the last couple of hours, announced a location for the meetings to hold to take place, if they actually happen.

So, it does seem to be still very possible that that lower-level work is not signed off on yet. That's what appears to be the situation, John.

BERMAN: All right. Nic Robertson for us, keep us apprised of the situation that seems to be developing very quickly there. Thanks, Nic.

New information this morning about an attempted rescue operation that failed to save American hostage Kayla Mueller, killed at the hands of ISIS.

We also have news about the alarming number of new recruits joining ISIS and what the White House might do about it. The president goes on the record. That's after the break.

(COMMERCIAL BREAK)