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No Survivors Expected in Indonesia Plane Crash; Greece Asks for Two- Year Bailout; Tunisia Says Gunman Linked to Terror Group; Iran Says Lifting Sanctions Integral to Final Deal; Puerto Rico Struggles with Debt Crisis; U.S. Stocks Open Higher Despite Greece Crisis; Current Greek Bailout Deal Expires in Hours with IMF Payment Due; NBC Fires Donald Trump. Aired 10-11 ET

Aired June 30, 2015 - 10:00   ET

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

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[10:00:34]

ROBYN CURNOW, CNN HOST: Hello there and welcome to the INTERNATIONAL DESK. I'm Robyn Curnow at the CNN Center. We're going to leave talks

about the Greek crisis for now and bring you an update on this breaking news story that we've been coverage all day here at CNN, that plane crash

in Indonesia.

Now Indonesia's air force is shutting down hopes that any survivors will be found from that fiery military plane crash in Sumatra. You're

looking at video that was taken just moments after that plane went down. Officials are now saying that no one on board survived. But it's unclear

just how many passengers there were.

Well, CNN's Kathy Quiano is in Jakarta and she joins us now by phone.

Hi there, Kathy. Just give us some sense of the latest death toll.

Do we have any idea who was on board that plane?

KATHY QUIANO, CNN CORRESPONDENT: Hi, Robyn. Well, the latest number we have from the Indonesian Red Cross is still about 70 people who died

from that plane crash. But the death toll is likely to rise as teams continue to search for bodies under the wreckage of the C-130 Hercules

plane that went down in Medan just before noon on Monday.

It's unclear how many people are on the plane when it crashed. It's also unclear how many people were on the ground. We know that about two

minutes after taking off from the Soewondo Air Force Base, the plane crashed into a residential area in this bustling city, Medan, though

eyewitness accounts say they saw the plane looking rather unstable before it crashed into a row of shop houses that were newly built.

Residents said that those were newly built and were still unoccupied so we don't know how many people were there when the plane went down. It's

also unclear how many people were on board the plane. Air force officials said the plane traveled earlier today from Jakarta with 130 people listed

on the manifest.

But it made stops in two other cities in North Sumatra. The plane was dropping off military personnel and supplies at different places. And

while civilians are not technically allowed on these military planes, it's not unusual for family members in military planes -- I'm sorry. Family

members of military personnel and other civilians to hitch a ride on that - - these aircraft -- Robyn.

CURNOW: Kathy Quiano, thank you so much for that update, devastating pictures there.

Now to that Greek debt crisis and that make-or-break day that we're facing for the country with potentially huge implications for Europe.

Barring a last-minute deal, the bailout agreement will expire and Athens will miss a $1.8 billion IMF payment due just hours from now and the nation

is now on the brink of default.

Our Richard Quest is in Athens and as Greece enters these critical defining hours, we are hearing some reports of a deal or at least some sort

of impasse that might be brokered.

RICHARD QUEST, CNN INTERNATIONAL BUSINESS CORRESPONDENT: Yes, indeed. It's believed that the Greek government has request a two-year bailout from

the European Stability Mechanism, the ESM, that's the bailout fund which was set up over the last few years. That's the fund where is the

repository of all the money that now deals with all European or Eurozone bailouts.

We understand that the Greek government has asked for a two-year bailout. The question of course is under what terms and what details? Now

let's get this into perspective. The first thing that is going to happen pretty much regardless is that the Greeks will default tonight to the IMF.

If they've asked for a two-year ESM deal, that ain't going to happen between now and 6 o'clock. The second thing is that the existing bailout

agreements will also expire at this evening. That's almost a given.

So what they're doing instead is saying let's go for a new bailout deal. Let's request a -- we're not asking for an extension of the existing

one. We're going to ask for a new bailout deal, a two-year arrangement from the European Stability Mechanism, the ESM.

Now that's what we understand is the situation.

[10:05:00]

QUEST: We're sort of efforting (ph) details left, right and center. The common feeling from those I'm talking to here is that if that is the

deal, then it's probably a good one. It's a deal -- and here's the crux to it, Robyn. I realize -- I realize I've thrown a lot of detail and facts at

you in one fell swoop. But it could either allow the prime minister to say, yes, we'll go ahead with the referendum on the weekend on that deal.

Or no need for a referendum; we have a deal. We can move forward ahead.

So, yes, there's movement; it's very complicated and we certainly have nothing like the clarity that we'll need to see.

CURNOW: Absolutely. And also have we had any response from the Europeans? And do you think they will accept another deal?

QUEST: Well, if you start off from the basis that Europe actually would like to get some form of deal, nobody wants to see Greece in this

situation and out the door. Then, yes, you start off with a groundswell of support. And because it's not tied to the last arrangement, they could all

start up in this year we're looking at a new deal under the ESM.

The danger of course is you are putting more money on the table and you've got to be sure from the Europeans' point of view that you're getting

the commitments, you're getting the reform, you're getting the undertakings. And here's the real crux of it, Robyn.

Substantially, if all you're doing is shifting the same pieces around like some sort of shell game, where is it now, oh, there it is, and you're

just moving around the same money, nothing's changed. But if you are actually managing to say no, new terms, new deal, new undertakings, then

you have got a way of moving forward. It's way too soon to say that we're at that stage.

CURNOW: Way too soon, but Richard Quest, it's great having you on the ground there. We'll come back to you if there's any more clarity on what

the Greeks are proposing. But thanks so much as always, Richard Quest there.

Now the U.S. economy may not be exposed to the Greek debt crisis as much as others but some investors are anxious about the impact of what

could happen in the coming days. What this all means if Greece is declared in default, which is more than likely now, while some others may be seeing

buying opportunities. Now that's a look at the big board right now. It really seems that there's a rebound underway, as you can see the Dow's up

more than 63 points and the Nasdaq we also know has bounced slightly.

But still, investors very much keeping an eye on Greece and also Puerto Rico debt.

Let's take a look at how the European markets are doing. A mixed picture there, mostly marginally up now. They're more up than down. This

is apparently because these markets have absorbed the expectations of a Greek default. But we'll see also how those markets move in the coming

hours.

OK. More on that horrific attack in Tunisia on Friday. Tunisia's interior ministry says the gunman who killed 38 people at a Mediterranean

resort had a connection to a Libyan terror group. But it's still unclear what organization he was linked with. Well, our Phil Black joins us now

from Sousse.

Phil, what are you hearing there on the ground?

PHIL BLACK, CNN CORRESPONDENT: Robyn, a Libyan connection was always the logical line of inquiry. The previous massacre targeting Western

tourists in the capital, Tunis, less than four months ago was said to involve men that had trained in Libya according to the Tunisian

authorities. They suspect that could be the case again this time. But the authorities are convinced that the gunman, Seifeddine al-Rezgui, also had

accomplices here in Tunisia. They say they captured some of them; they're investigating three of his roommates and they're looking for more.

Today they've released photos of two more men that are said to be connected to Friday's attack -- Robyn.

CURNOW: And so also, importantly, tell us more about these victims and what do we know about them and where they came from?

BLACK: Well, in terms of those who were killed, the process of identifying them formally is still continuing, according to the British

government; 21 British citizens have been formally identified. According to the Tunisian authorities, you have three citizens from Ireland, two from

Germany, one from Portugal, one from Russia and also one from Belgium. That's 29 in total; that's out of 38. So there's still some work there to

do. The British authorities are saying it's taking longer than normal because these people were swimming, lying in the sun; they didn't have

identification on them at the time. They're a long way from home. There are a few people here who know them and can identify them visually.

When it comes to the injured, most of them we are now told, all but two have left or been moved from the hospitals here in Sousse. Only two

remain and those --

[10:10:00]

BLACK: -- two people are being examined -- undergoing psychological examinations, I should say. But on the beaches, the resorts around here,

there are still many people who have chosen to stay and continue their holidays, including some who had a very close experience with that gunman.

Take a look.

(BEGIN VIDEO CLIP)

BLACK (voice-over): Sousse's long coastline is misleading. It doesn't look like the scene of a massacre. There are still many tourists

enjoying this holiday playground. But not here; the beachfront of the Imperial Marhaba Hotel, this is where most of the 38 victims were killed as

the gunman first opened fire on a crowd of people lying in the sun.

This pasta stand in front of the hotel is now a somber place. But what's really striking is how contained it is. The gunman would have had a

clear field of view and the people, once they realized what was going on, had almost nowhere to run, few options for escape, just that narrow gate

up the back. And those who were lucky enough to make it through were followed by the shooter.

That gate is now chained, locked and guarded. But we're allowed inside the grounds of the Imperial Marhaba to meet British couple David and

Jean Rapetti, in Tunisia to celebrate their 55th wedding anniversary. They lived through the attack and decided to stay.

DAVID RAPETTI, TUNISIA ATTACK SURVIVOR: We're probably about 30 yards, 30 meters away from the gunman, which was near enough anyhow. And

the -- and I was frightened.

BLACK: What do you remember most, most clearly about the gunman?

RAPETTI: All I saw him doing was firing. I saw three people lying on the floor. I have no idea now whether they were dead.

BLACK (voice-over): They survived by running from this courtyard and hiding in a small room. They know many others weren't so fortunate. David

says his hardest moment since the attack was visiting the beach.

RAPETTI: Never having seen people in such a terrible emotional turmoil, I say, it wasn't us that were suffering. It was other people that

were suffering. I mean, to come to terms with their terror and their grief has taken us a lot of time.

BLACK (voice-over): The Rapettis say staying on feels right. The hotel is now a crime scene but it's also a place where survivors are trying

to make sense of what happened here.

(END VIDEOTAPE)

BLACK: Those who are still trying to enjoy the sunshine here, the water, are increasingly being watched by Tunisian security forces. We've

seen regularly police on horseback, on quad biking, on foot here along the beach. It is stepped up but it is certainly not blanket security by any

means. But as of tomorrow, the Tunisian government says there will be around 1,000 armed personnel patrolling, protecting sites, the beaches,

that are popular with tourists -- Robyn.

CURNOW: Powerful report there, thanks, Phil Black there. We'll leave it at that. Thank you.

Well, the top prosecutor in Paris is revealing new details about Friday's attack that left a man decapitated at a factory near Lyon. He

says the suspect, Yassin Salhi, arrived at the site with a knife and a fake shotgun. Salhi then lured his boss, Herve Cornara, into his van, knocked

him out, strangled him and then cut off his head.

It's unclear if Cornara was alive at the time of the beheading; his head was left hanging on a fence at the factory, along with flags

containing Arabic writing. The prosecutor is recommending Salhi be investigated on terrorism charges.

The Taliban targeted an international convoy Tuesday in Kabul. An Afghan interior ministry spokesman says a suicide car bombing killed one

Afghan civilian and wounded nearly 2 dozen people. The blast also triggered an alarm in the U.S. embassy, which is nearby.

Today is the self-imposed deadline for Iran and the six international powers to reach a deal on its nuclear program. Our correspondent is live

in Tehran; as Iran's government makes tough demands, is reconciliation possible? We'll see next -- stay with us.

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[10:16:34]

CURNOW: Welcome back. You're watching the INTERNATIONAL DESK. I'm Robyn Curnow. Now striking workers are causing new chaos for travelers

trying to cross the English Channel. All traffic has been suspended again through the Channel tunnel. Now Eurostar says French ferry workers cut

through a fence and set fires on the tracks and so trains will be unable to run for the rest of the day.

It's the second time in less than a week that these protests have closed the tunnel. Workers in Calais are trying to stop impending job

cuts.

Iran's Foreign Minister says he's in Vienna to get a final deal. And Mohammad Javad Zarif says he thinks it's possible. Today is the deadline

for Iran and six world powers to negotiate a comprehensive nuclear agreement. But challenges remain. And today's deadline is likely to slip.

Our Fred Pleitgen joins me now live from Tehran.

Hi there, Fred. Great to have you on the show. Now what are Iran's main demands? And is there a cautious optimism there that there'll be a

deal?

FREDERIK PLEITGEN, CNN CORRESPONDENT: Well, I would say there is a cautious optimism here about -- with some people. But there's others who

remain quite pessimistic about what's going on. One of the things, of course, that we have to keep in mind is that Javad Zarif, the lead

negotiator for the Iranians, just got back to Vienna overnight after spending a day here in Tehran, consulting with this country's supreme

religious as well as the political leadership and now he's back there.

The main sticking points for Iran are basically two things. One of them is will military sites here in Iran be subject to international

inspections? That's something where the Iranians say absolutely not. And the other main thing is how fast will they get sanctions relief? That's

something that's very important, not just to the political leadership, but also to the people here in Iran. And the Iranians so far have said they

want immediate sanctions relief.

But I spoke to a top level Iranian official who says there might be some room to negotiate on that issue. Let's listen in.

(BEGIN VIDEO CLIP)

PLEITGEN: Obviously the nuclear negotiations are in a very decisive phase right now.

How good do you think the chances are that a deal will be reached?

And what does Iran want to achieve?

ALAEDDIN BOROUJERDI, CHAIRMAN, IRANIAN PARLIAMENT FOREIGN POLICY COMMITTEE (through translator): I believe the sanctions must be lifted all

at once. This is a necessary condition. Of course when it comes to executing the sanction relief, that might take more time. Both the

implementation of the restrictions on Iran from the new agreement and the execution of lifting the sanctions may take longer.

But from day one, it must be declared that the sanctions will be lifted.

And inspecting our military facilities is a definite red line.

PLEITGEN: And presumably you've already spoken to Foreign Minister Zarif about how the way the negotiations are going.

How confident are you that an agreement can be reached?

BOROUJERDI (through translator): Both sides must show serious will for an agreement and considering the fact that we've accepted restrictions

on our program at the Lausanne talks, we believe the Islamic Republic of Iran has done its part. Now it's the other side that has to make a

decision. And the other side, especially the United States, wants to put on a show as they have done in the past when they've reneged on previous

agreements with Iran.

PLEITGEN: If these negotiations go well, if there is an agreement, could that lead to better relations with the United States, for instance,

also cooperation in the field of fighting terrorism, fighting ISIS?

And what do you think will be the consequences if this fails?

BOROUJERDI (through translator): We are witnessing a new atmosphere which includes long-term discussions --

[10:20:00]

BOROUJERDI (through translator): -- longer than ever before. The 2+4 ministers talked for countless hours. And even though this was just about

the nuclear issue, Iran considers this a historical test for the United States because we still do not trust the U.S.

At this sensitive juncture, the United States must show that it really wants to bring down this wall of mistrust between us.

(END VIDEOTAPE)

PLEITGEN: And it's very interesting to see the rhetoric coming here out of Tehran. It is actually very similar to what you're hearing out of a

lot of the P5 nations, where the Iranians are saying yes, they want a nuclear agreement, one that's beneficial to them. But they also say that

no deal for them is better than a bad deal -- Robyn.

CURNOW: So that's the politics. What about the Iranian public? Does everyone want a deal?

PLEITGEN: Yes. That is a very good question. And certainly if you go from the polling and you speak to people here in Tehran, I would say the

vast majority of them wants a deal. They want sanctions relief especially as fast as possible. They want better relations with the West as well.

But of course there are also many religious hardliners here in this country and also political hardliners as well, who don't really want to give any

ground to countries like the United States, who have thought that the United States -- that Iran should have walked away from this whole process

a very long time ago and who feel that Iran is giving up its sovereignty. They talk about the current economic situation, which is of course a very

difficult one as a resistance economy and say this is something that they feel Iran must go through and should -- and can go through even longer.

So there are many people, the majority who want an agreement. But there are also some who say that Iran should stay very, very firm, even if

it means continuing under the sanctions -- Robyn.

CURNOW: Fred Pleitgen there, live in Tehran, thanks very much.

Now while much of the world focuses on the looming default in Greece, Puerto Rico is trying to find a way out of its own debt issues. It's

looking to the U.S. for help. We'll have a live report ahead.

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CURNOW: Welcome back to the INTERNATIONAL DESK. Now Puerto Rico's governor says the island is in a death spiral, unable to make payments

Wednesday on its $73 billion debt. The White House (ph) says the U.S. Congress should consider allowing it to declare bankruptcy.

Well, our business correspondent, Samuel Burke, now joins us from New York with more.

So how did Puerto Rico get here?

SAMUEL BURKE, CNN CORRESPONDENT: Well, Robyn, if the terms "big spending, big lending and harsh austerity" sound familiar, we're not

talking about what's happening in the Mediterranean; we're talking about what's happening in the Caribbean. On top of all those factors, Puerto

Rico has suffered a series of unfortunate events looking back.

In 2004, they had a major real estate crash, long before the real estate crash here in mainland United States. Then just two years later in

2006, they finished receiving a U.S. tax break for a factory there. And that had a devastating effect. And all along, Robyn, they have had --

they've enjoyed triple tax-free bonds, which have been very popular with investors because they don't have to pay local, state or federal tax. So

investors have been pumping in the money to Puerto Rico while their debt just goes up and up.

CURNOW: But first of all, can you just also explain this relationship that the country has with the U.S.?

[10:25:00]

CURNOW: And will the U.S. have to bail out Puerto Rico?

BURKE: Well, Puerto Rico is a part of the United States. It's a commonwealth which is a type of territory. They don't pay federal taxes

but they do have U.S. passports and that's contributed to the brain drain, people leaving this U.S. commonwealth and heading for the U.S. mainland,

coming to places like New York. And so that's known as the exodus in Spanish there in Puerto Rico. So that's made it even harder for them to

collect taxes, when people have come to the mainland United States.

Now also important to note that 80 percent of Puerto Rico's debt is in municipal bond funds. So there is exposure because of this. A lot of big

pensions, mutual funds, even some big banks and especially a lot of retirees may have money in Puerto Rico and they're waking up and realizing

that there's exposure to this.

Now unlike Greece, all of the economists with whom I've spoke have said there is no way the United States is going to bail out -- is going to

bail out Puerto Rico. We hear the White House and some members of Congress pushing for Puerto Rico to get the status to declare bankruptcy. That's

something that only U.S. states can do, not a territory, but that could change if the White House has its way.

CURNOW: OK. Thanks for that update there, Samuel Burke in New York, thank you.

Now Apple is launching its streaming music service today. The company is giving consumers a free three-month trial of Apple Music but it'll cost

about $10 a month after that. Apple is joining a crowded field and many competitors offer a free version of their service. Some people think users

may ditch Apple Music once the subscription fee kicks in.

Well, up next, we'll check on how world markets are doing as Greece lurches towards default.

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CURNOW: Welcome back to the program to the INTERNATIONAL DESK. I'm Robyn Curnow. Here are the headlines.

(BEGIN VIDEO CLIP)

CURNOW (voice-over): An Indonesian Red Cross official says the death toll from a military plane crash has risen to 70. The plane was carrying

military personnel and equipment when it went down on the island of Sumatra. It's unclear how many people were on board at the time.

Today is the deadline for Iran and six world powers to negotiate a comprehensive nuclear agreement but challenges remain and Iran is insisting

that all sanctions be lifted. For now, negotiations continue in Vienna.

And a Japanese bullet train had to make an --

[10:30:00]

CURNOW: -- emergency stop because of a fatal fire on board. Police say a passenger set himself on fire with a flammable liquid. The crew put

out the flames but one other passenger died and at least 10 were injured. The man's motives were not immediately clear.

From Greece, a last-ditch effort to avoid more economic calamity, Greece is now asking the Eurozone for a new two-year bailout deal. The

current bailout expires in hours and Greece is set to miss its next payment to the IMF. Amid the maneuvering, Greek banks are still shut and cash

withdrawals very limited.

Let's see how the stock markets are responding to all of this. Our Maggie Lake is monitoring the markets from New York.

We're hearing these reports of this possible two-year bailout. It's still very much reports does seem like an about-face from Greece either

way. Markets don't like inconsistency, uncertainty and there's sure a lot of that around.

MAGGIE LAKE, CNN HOST: That's very true, Robyn. And they're certainly having a hard time keeping up. However, I will say that anything

that looks like it is progress restarting opening the deal, the door to more talks or the possibility of a deal as uncertain and confusing as those

headlines are going to be positively received by the markets.

I think you were showing the Dow; I don't know if we have the big board. You could see we are in positive territory. You've seen that

throughout the global economy today, stocks rallying, not recouping their losses from yesterday necessarily, but they've kind of risen and are

sitting here and waiting.

Listen, all along investors, especially here in the United States, have always seen a Greek exit of the Eurozone as a lose for everyone. They

thought that it would create a lot of uncertainty, a lot of unintended consequences. We don't know how that would play out, what that would mean

for the political future of the Eurozone and it unnerved them. Anything that now looks like they might be coming together as patchwork as it may be

is going to be something that they like.

But you can see by the fact that they're just sitting there with gains up only about half a percent means that they're still very cautious. We

have been here before. Hopes of deals, time and time and time and again have fallen through. So I think that is very, very cautious, early

optimism. But we've got a lot of ground to cover and if they are talking about initiating a whole new bailout at this late stage, it's unclear

whether that -- how that will be received in Europe and whether they would even be able to make enough progress for -- to prevent the default or any

of these sort of dominoes from taking effect -- Robyn.

CURNOW: So many questions, clearly a lot of worry and a lot of eyes on what's happening there at the markets, also implications for Wall Street

very much a focus. So thanks for that, Maggie Lake, as always. We'll leave it at that.

Now CNN's Richard Quest spoke with the former Greek prime minister in the last hour. He made some important points. Here's some of that

interview. Take a listen.

(BEGIN VIDEO CLIP)

GEORGE PAPANDREOU, FORMER GREEK PRIME MINISTER: Yes, I had hoped that after two years, almost three, we would be out in the markets, we were

going through this. Mistakes have been made on both sides, certainly on the European Union side, the Eurozone and the IMF side. But the lack of

consensus here in Greece I think was also a problem for not moving forward on major reforms.

RICHARD QUEST, CNN HOST: What is your understanding or what can you tell us about the prospects of any late negotiations today?

PAPANDREOU: Well, I would make an appeal on your program here, Richard, that the two sides, at the last moment, get together and try for

an agreement, an agreement which then could be actually put to a referendum or, in this referendum, but with the government saying, yes, we now have a

satisfactory agreement and we will get a resounding yes and that would be a way out. And I think brings credibility and stability in our country,

which is very much needed.

QUEST: That's an idea. But do you know anything about the talks that's taking place? Or the way in which this framework would take place?

PAPANDREOU: I believe the major issue which the Greek government and I would say there's a wider consensus on this, is that we need some form of

dealing with the overhang of a huge debt. We're not talking about the principle; the haircut, the principle; we're talking about maturity. We're

talking about interest rates. But in any case make sure that the pain of the -- and the drag of the debt, which is also now on the Greek people, but

even the psychology in the markets, which we want to access, is very important. That's one basic thing.

On the other hand, we need to show -- the Greek government needs to show not so much the fiscal austerity issue but the wider reforms which we

need to make and Greece to make sustainable.

QUEST: It's almost impossible -- well, the Greek government says it will not make that payment to the IMF tonight. That's your understanding.

PAPANDREOU: That's my understanding. And that, of course, is a -- this is a major, major event. The immediate effects will -- may not be --

we might not see the immediate effects but I think in the long term this will create an issue of credibility.

[10:35:00]

QUEST: And if the deal -- so you've got the IMF expiration tonight. But if the deal expires, the Eurozone bailout deal expires, what -- how do

you get that back on track? Because there's going to be a referendum about a deal that doesn't exist.

PAPANDREOU: Absolutely. This is one of the problem because I had called for a referendum in 2011 but there was a deal on the table. I asked

for a yes; we had time to discuss it and I think we would have gotten a yes vote. We would have been out of the woods now. Now we're voting on

something we really don't know what it is or what it could be. And it has become therefore a vote basically of a yes or no to being in the Eurozone.

QUEST: But you did the first bailout.

You did the first bailout -- and I say this with respect -- arguably you're one of the people that saddled the country with the amount of debt

that it's got today.

PAPANDREOU: Actually the debt was doubled by the previous government that I was saddled with and the deficit, of course, was multiplied from 3

percent, which should have been in the mastery (ph) criteria, to 15.7 percent. Obviously the watchdogs in the -- on the commission in the

European Union have a great responsibility for not having been able to --

(CROSSTALK)

PAPANDREOU: -- my responsibility is that I shouldered the whole crisis. And I had to make a very difficult decision of whether we access

the -- this mechanism, so-called the bailout mechanism, which would -- hadn't existed when I first took on the prime ministership or whether I

would let my country default and see what would have happened. We would have had the same thing with ATMs, with people lining up -- but we would

have a primary deficit of 24 billion, which would have meant we would have had no money to pay our government and our civil servants or our

pensioners.

QUEST: So have the first bailout in 2010. You have the second one or the deal in 2011. You have the private sector initiative that comes

thereafter. And five years later, Mr. Papandreou, five years later we're still backing Greece. We're still talking about bailouts. When are the

countries have responded and are growing again. So to the fundamental point, is this referendum about whether Greece stays in the euro, yes or

no?

PAPANDREOU: As it has been put today, without a very clear view as to what we're going for, in the end it's becoming a vote of staying in the

euro, trying to find a deal or saying no and slipping -- and I would say slipping or sliding out because it'll be a painful -- a very painful exit,

which won't come immediately, but we will most likely be suffocating and then at some point, whatever government is in power will have to say, well,

let's go to the drachma.

(END VIDEOTAPE)

CURNOW: That was the former prime minister of Greece speaking there to our Richard Quest. I just want bring you up to date on what's

happening. There has been some movement. We've just had a tweet from the president of the Eurogroup saying that there'll be an extraordinary

Eurogroup teleconference that'll take place at 1:00 pm Eastern Time. That's 1900 hours Brussels time. Now that's to discuss the recent request

of the Greek government that was received in the past few hours, reports saying that they've asked for a two-year bailout, a new bailout, that must

be said, from Europe's rescue fund, the ESM, the European Stability Mechanism. So there is some movement; unclear how this is all playing out

and we will keep you posted on those developments.

Also a major American broadcaster dumps Donald Trump. We'll tell you why NBC says it'll no longer broadcast the presidential candidate's beauty

pageant. Stay with us.

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[10:40:28]

CURNOW: Welcome back. I'm Robyn Curnow and you're watching the INTERNATIONAL DESK. Now billionaire business man and presidential

candidate, Donald Trump, continues to court controversy.

NBC Universal just cut all ties with him in the wake of protests over comments he made, in which he said Mexican immigration brought criminals to

the U.S., including rapists.

Well, Trump and NBC co-own also the Miss Universe and Miss USA Pageants, which the network now says it won't air. Trump defends his

comments and just says NBC is weak.

Here's Athena Jones with more on this story.

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ATHENA JONES, CNN CORRESPONDENT (voice-over): NBC University has cut its ties with Donald Trump, citing his derogatory statements, calling

Mexican immigrants "rapists," "drug dealers" and "criminals."

DONALD TRUMP, ENTREPRENEUR: Somebody has to come out and tell it like it is.

JONES (voice-over): The real estate mogul stood by those comments before a packed house in Chicago, quoting a report by Fusion, owned by

Spanish language channel Univision and ABC.

TRUMP: They think it's like Mother Teresa's coming across the border. OK? This one says, eighty percent of Central American women and girls are

raped crossing into the United States. Well, I said drug dealers. I said killers and I said rapists.

JONES (voice-over): NBC says it will no longer air the Miss USA or Miss Universe pageants, partly owned by Trump following a similar step by

Univision, which also dumped the event. Trump is threatening to sue.

TRUMP: I'll be suing Univision. Maybe I'll be suing NBC, too.

JONES (voice-over): NBC was facing growing pressure to respond with more than 200,000 people signing on to a petition on change.org, calling on

the company to dump Trump. And angry protesters denouncing him outside the Chicago event.

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JONES (voice-over): The reality star and now presidential candidate had already planned to give up his hit show, "The Apprentice," amid the

controversy Trump has been surging in the Republican polls, up to second place in the first primary state of New Hampshire.

Oozing confidence in classic Trump style, he touted the latest CNN/WMUR poll.

TRUMP: This is a CNN poll, just came out. And they have interesting categories. Who's the best on terrorism? That's a pretty important

subject. Trump right at the top. Who's the best on handling international trade? Like not even close. Trump is like almost double anybody else,

right? That's incredible.

JONES (voice-over): As for the man besting him in that poll, former Florida governor Jeb Bush, Trump says he's a nice guy who can't win in

2016.

TRUMP: Believe me, he will never, ever, in a million years, bring you home.

JONES (voice-over): Athena Jones, CNN, Chicago.

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CURNOW: On that note, that does it for us here at the INTERNATIONAL DESK. I'm Robyn Curnow. But don't go anywhere. "WORLD SPORT" with Amanda

Davies is up next.

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