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Markets Cheer UK Election Result; Will Clinton Foundation Troubles Go Away?; Tom Brady Fights Back; Conservatives Win Resounding Victory in U.K. Aired 6:30-7a ET

Aired May 08, 2015 - 06:30   ET

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

[06:30:01] CHAD MYERS, AMS METEOROLOGIST: It doesn't mean pass, just means maybe a lesser season than normal.

And here's Ana, and Ana, Ana, bo-bana, she just can't get her stuff together. But, you know what? It's still going to have a 45- mile-an-hour storm, it is still a tropical like wind, 45 miles per hour.

It just doesn't have the characteristics. It's not going to get an eye. It's not going to become a tropical storm or hurricane before it makes landfall later on this week. But if you're on the beach, you'll see some waves, rip currents and the like.

Back to the west here's the bigger story, especially for tomorrow and today. There will be significant severe weather this afternoon in parts of Oklahoma and Texas. Same story tomorrow in Nebraska, Kansas, Oklahoma and Texas. There you go.

This is tomorrow afternoon's radar popping up there, right through Oklahoma City, places, Moore, Oklahoma City, Norman, places that don't need more severe weather. It's already had enough this week already. Here we go, though -- Oklahoma City, Wichita, down to Dallas where severe weather pops up this week.

For tomorrow, this is the big day. In fact, our Jennifer Gray is on her way out here to the Midwest because there will be a lot of tornadoes on the ground. She will be there covering for you and I will be here as well.

Michaela, back to you.

MICHAELA PEREIRA, CNN ANCHOR: All right. We're so glad for that. Thanks, Chad.

Looking at some news overseas: conservatives defying the polls and running away with big election wins in the United Kingdom. Prime Minister David Cameron all but guaranteed to keep his job. Conservatives appear to have enough seats to govern outright. If not, they'll have to form a coalition.

Tough night for the Labour Party which saw some key leaders defeated. The Scottish National Party also posting big games likely setting the table for another push to secede from the U.K.

CHRIS CUOMO, CNN ANCHOR: The Senate easily passes a bill that gives Congress a voice in any nuclear agreement with Iran. The House expects to take up the measure next week.

Now, President Obama says he will sign the bill provided it doesn't change dramatically before it gets to his desk. The key, however, will be -- can he get consensus with Congress on whatever final deal emerges?

ALISYN CAMEROTA, CNN ANCHOR: The Justice Department launching a full scale civil rights investigation into Baltimore's police department following the death of Freddie Gray. The action requested by the city's mayor federal investigators already looking into whether Gray's civil rights were violated when he was taken into police custody.

Some tense moments for Delta passengers. Smoke filled the cabin of their flight from Ft. Lauderdale to New York. One passenger grabbed his cell phone to record what it was like onboard.

(BEGIN VIDEOTAPE)

PEREIRA (voice-over): You can hear the smoke alarm sounding off inside Delta Flight 2028, the cabin filling with smoke so fast.

EILEEN GANGA, PASSENGER: I was so scared. I started to scream.

PEREIRA: The FAA says more than an hour after takeoff from Ft. Lauderdale, the crew reported smoke in the cockpit and a problem with one of the jet's two engines.

JACK URBONT, PASSENGER: I started noticing at a certain point a mist coming through. And then I realized the mist coming through the cabin was smoke. I could smell the smoke. Then I looked back toward the rear of the plane and it was dark.

PEREIRA: All 89 passengers were told to put their heads between their legs to limit the amount of smoke they inhaled.

GANGA: We'll have to take something and go like this.

URBONT: People were coughing, some people were crying.

PEREIRA: The flight to New York immediately diverted to Charleston. The pilot telling passengers what went wrong.

FABIO DIAS, PASSENGER: Apparently, there was a malfunction in the engine and had something to do with oil being burned. And they were deciding to turn one of the engines off to avoid the extra smoke.

PEREIRA: The smoke clearing in five minutes and all the passengers are now back in New York safe and sound this morning.

URBONT: I'm not religious, but I clenched my fist and I said, OK, God, I'm with you now. Get us down, please. And I promise to be a good boy.

(END VIDEOTAPE)

PEREIRA: All of them there. Apparently some of the passengers were holding hands and crying as they finally touched down safe and sound. We're told they got pizza and drinks afterwards. I'm betting it was probably a good stiff drink after that.

CAMEROTA: Right. Mid-flight conversions, we see that sometimes.

CUOMO: No atheists in foxholes.

CAMEROTA: No.

PEREIRA: The crew was calm throughout, which again just stellar how they're trained. I always look to them if they're calm, I'll stay calm.

CAMEROTA: But to your point why didn't the oxygen masks drop?

PEREIRA: Well, it's a fire hazard, if there's fire on board if there's smoke there's usually fire so there's a concern that could have further ignited.

CAMEROTA: Oh, good to know.

CUOMO: Yes, you also don't know whether or not the crew was as alarmed as the passengers. Seems like there was a little communication disconnect there also. But thank God it ended OK.

All right. You know what it is now. It's time for CNN Money now. Chief business correspondent Christine Romans in the Money Center.

What's going on with stocks? They're up. They're down. Is it always like this?

CHRISTINE ROMANS, CNN CHIEF BUSINESS CORRESPONDENT: They're higher around the world right now, Chris. They're cheering the surprise election win for the U.K. Prime Minister David Cameron. In London stocks up 1.8 percent as well. The pound is up as well.

So, why the strong reaction? As you know markets hate uncertainty. The prospect of a clear outcome instead of days or weeks of confusion is a win for investors.

Cameron's victory also quashes the Labour Party plans to raise taxes on the rich and increase regulations for some businesses. Bank stocks are surging with relief. Voters seem to give Cameron also some credit for Britain's recovery.

[06:35:00] The U.K. had strongest growth of any major developed economy last year. And unemployment has fallen rapidly there.

So, clearly that win something markets are relieved to see, Alisyn, this morning.

CAMEROTA: OK. Christine, thanks so much for that.

Well, the State Department refusing to investigate donations to the Clinton Foundation while Hillary Clinton was in charge, even though foundation officials promised to reveal them all. Will this issue dog Clinton for the rest of her campaign? We take a closer look with Michael Smerconish, ahead.

(COMMERCIAL BREAK)

CUOMO: Clinton news. The State Department says it will not review previous undisclosed donations to the Clinton Foundation despite an earlier agreement that the charity would make its backers public. How much could this hurt Hillary on the campaign trail, or help?

Let's bring in the host of CNN's "SMERCONISH" and CNN political commentator, Michael Smerconish.

It's good to have you with us, my friend.

Even the way that was written makes everything about this seem like it was a negative. And yet, where is the proof? I know the perception is so tantalizing to us and certainly to the right.

[06:40:03] You read the book. Do you believe the case can be made that there were bribes involved?

MICHAEL SMERCONISH, CNN HOST, "SMERCONISH": I don't think that the book is a hit job. I think the book is pretty well researched. And I think that it raises legitimate questions. But to your point, Chris, there are no smoking guns in this book of any quid pro quo.

So, unless there's more information, more evidence forthcoming of a deal having been part and parcel of these financial transactions, the donations to the Clinton Foundation, the engagement of former President Clinton to speak, unless there's more that is coming forward, then I don't think it will move the needle. I think the Clinton partisans, those who respect, admire and want to vote for Hillary Clinton, like David Brock, will continue to say it's a put-up job. And those like Mitt Romney will continue to refer to it as something that looks like bribery.

CUOMO: Right.

SMERCONISH: There's something in it for everybody.

One last thought. You know, it requires an attention span to get involved in this book and try to sort it out. The Tom Brady issue, we all get it. Did they underinflate the balls or not? The Clinton issue you're going to have to pay attention.

CUOMO: Here's the thing, you have to pay attention. But both things are not equal propositions. It's not equal that they're tough questions and they're going to have to find some there-there. Or there is no proof and you can't draw the connections, or you may have the proof that the opposite is true, that there was no connection. So, they're not equal propositions. It's what point you make the case or it goes away?

SMERCONISH: Hey, at a minimum I think that the book raises questions about pretty amazing coincidences of foreign investors, men, trying to put together a variety of business transactions who are prohibited from making donations to American domestic political candidates suddenly making contributions to the Clinton Foundation and suddenly engaging former President Clinton to speak at fee levels that he had not previously seen. It's pretty interesting.

PEREIRA: But, you know, it's interesting, you talk about this both of you but perception matters. I'm curious. Even if there's no there-there, is there damage that is done? Is this going to cast Hillary as untrustworthy? Is the perception out there to voters that she isn't?

CUOMO: The polls have gone down.

SMERCONISH: Well, to those who are predisposed not to like her, you know, they're getting out of this story exactly what they want to get out of this story.

PEREIRA: But how about those undecided?

SMERCONISH: The early polling -- that's a great question. The early polling data suggests thus far it hasn't harmed her. And even though the book only came out on Tuesday, discussion of the book has been ongoing for about ten days. And the early signs are that at this stage it has not harmed her. It's not going to help her obviously but that it hasn't harmed her.

CAMEROTA: What about the undecideds?

SMERCONISH: We don't know. Here's the question --

CUOMO: They're undecided. That's the problem with them.

SMERCONISH: Here's the question, this is what I would ask about the undecideds relative to Secretary Clinton. How many are there really?

You know, we are about to spend millions, potentially in excess of $1 billion on this election. I happen to believe that we could run this race tomorrow, Saturday morning. And if her name is on the ballot, we could probably get the same result that we will get in November of 2016.

PEREIRA: Without spending all that money.

CAMEROTA: That's incredible, Michael. I mean, that's radical, right? Because they say this is going to be the most expensive one ever.

(CROSSTALK)

CAMEROTA: But also to his point if she's already the nominee, why do we need to spend a billion dollars?

PEREIRA: I hear you.

CAMEROTA: So, Michael, is anybody listening to your questions?

SMERCONISH: There's a lot to be learned from what the Brits just did.

CAMEROTA: All right.

PEREIRA: Got a bit of a delay there.

CAMEROTA: We do have a delay. I want to move onto another question. You said Chris Christie's toast.

PEREIRA: Oh, did we lose him --

SMERCONISH: If you look at the internals of that "New York Times"/CBS survey released this week, 42 percent of a certain category of voters say they will not consider voting for Chris Christie. Do you know what that category is? Republican voters, 42 percent of the GOP are saying, we won't even take seriously his candidacy.

I don't know how he overcomes that, particularly given the problems that he's having in New Jersey from a fiscal standpoint and, of course, the bridge situation.

CUOMO: Who will they vote for? You have more and more people getting in this race.

PEREIRA: It's crowded.

CUOMO: You could wind up with like eight at some point. Do you really look at any of them and say, oh, this guy could actually be president. I see him winning over a majority of the country.

PEREIRA: If that's the case, if they don't believe they can, why are they doing it again? Seems like a lesson in futility.

SMERCONISH: Well, there's no such thing as a loser. If you get into this scrum and you put on a respectable face, at the end of the rainbow even if you don't win the nomination, what's waiting for you? A gig at FOX, a talk radio program, a book deal and speaking fees. So, you know, it's all good if you get out there and can get on that stage.

PEREIRA: I love that we discuss -- it's almost like we look at Uncle Smerconish and say fix this for us.

[06:45:03] I love these conversations with you.

CUOMO: And you disappoint us every time.

PEREIRA: Oh, he does not.

CUOMO: By dangling these things that could be solutions and making us think they may happen.

CAMEROTA: And yanking them away.

CUOMO: All right. So, we'll be watching as always. Smerconish Saturdays at 9:00 a.m. Eastern on CNN. And, of course, you can hear him weekdays on Sirius XM, also at 9:00 a.m. Eastern.

Thank you, Mr. Smerconish.

PEREIRA: Teeing up Tom Brady, he talked about it right there. Tom Brady speaks. In a matter of speaking, what the Patriots quarterback did or didn't say about that report implicating him in Deflategate. Could the way he's handling this report, or not handling this report, backfire?

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

TOM BRADY, PATRIOTS QUARTERBACK: It's only been 30 hours. I haven't had much time to digest it fully, but when I do, I'll be sure to let you know how I feel about it.

JIM GRAY, SPORTSCASTER: Are you that slow a reader?

BRADY: Well, my athletic career has been better than my academic career.

(END VIDEO CLIP)

PEREIRA: Tom Brady making some jokes there to a friendly crowd at a sold out event at Salem State, making his first public comment since the release of the NFL's damning Deflategate report, explaining he hasn't had time to digest the report's claims.

[06:50:08] Earlier in the day though, his lawyers -- agent rather -- staunchly defended the quarterback, issuing a scathing statement saying the report is, quote, "flawed".

Here to discuss about whether or not this could backfire is CNN sports analyst Christine Brennan and CNN sports correspondent Coy Wire.

And they are back, ladies and gentlemen, round two. I love this conversation with you guys.

Let me read more of the statement to the two of you. Quote, "For reasons unknown, the Wells reported omitted most of Tom's testimony, most of which was critical because it would have provided this report with context that it lacks. This report contains significant and tragic flaws, and it is common knowledge in the industry that reports like this are generally written for the benefit of the purchaser". That's Don Yee, Tom Brady's agent.

Christine, we've seen these kind of tactics before, a strong defense is a strong offense. Is it going to be effective here at least in changing the public opinion on this?

CHRISTINE BRENNAN, CNN SPORTS ANALYST: No, no, Michaela, not at all. I think this is a big mistake by Brady and his agent. And, of course, Brady saying I'm not going to say anything I haven't seen it yet, his agent of course has a bazooka out and just blasted away a few hours earlier.

I mean, they should get their stories straight on who's saying what. Bottom line for this is the NFL is going to be making decisions. And as the NFL looks at this and a man who is not contrite and an agent who is picking fights, that is really bad if you want to have Brady back on the field and not be suspended for a couple -- you know, more than two games.

I mean, the notion that you're picking fights with the people who are going to make the decision seems to be the best thing to do would be say, thank you very much for the information and let me know what my suspension or my fine will be and not continue to fight it. At least that's my point of view.

CAMEROTA: Coy, I know you've spoken to former and current players. What do they think about Brady and his lawyer's response?

COY WIRE, CNN SPORTS CORRESPONDENT: Well, first of all the players are kind of worried for Tom Brady. I told one guy, I took a screen shot of the correspondence between John Jastremski, the assistant equipment manager, and Jim McNally, the official locker attendant, and they said, quote, "He's screwed."

So, it's not looking good for Tom Brady based on reports, again, it's probable to have happened but probably happened is probably enough for Goodell to bring down punishment.

I'm with Christine on this. Look, what if Goodell doesn't punish them? What if he doesn't fine them or suspend Brady but you're coming out and taking jabs at the NFL and at Goodell when maybe you don't even have to. I think it's a little premature.

But you showed that quote there, why Don Yee thought that this report lacked context, the omission of Brady's statements. He also said in that report I was physically present for my client's interview, I have verbatim notes.

So, if you have notes that exonerate your client from admonishment and castigation, then what don't you show them? Where are the notes? Let us see the notes and what Tom Brady said.

CUOMO: Well, he doesn't want to expose him to more liability. That's his point about why he didn't turn over his phone, e-mails and stuff like that. You don't want to give access to all your stuff to somebody who's looking to find a way to come after you. I mean, that's simple lawyering.

What I want to figure out here is why is there such a disconnect between Christine where your head is on this and what you hear from so many sports fan who is are like, this is about deflating the balls, you got guys punching women in the face and being involved in violent crimes and you drag your feet -- but now all the sudden this is like this is the new standard of zero tolerance. It just seems hypocritical.

BRENNAN: Well, Chris, I would disagree in the sense I think NFL is doing more on domestic violence now certainly than any other league in the country, maybe in the world.

CUOMO: Yes, but it doesn't mean the past doesn't exist, Christine. You don't get judged just by what you do right now. It's a reflection of what you've done before. And nobody has the record that the NFL has in terms of turning a blind eye to things they should have seen nice and clear, true?

BRENNAN: Absolutely, Chris. And I have been as critical of the NFL and Roger Goodell as --

CUOMO: Yes.

BRENNAN: -- anybody back in September, October, whatever.

But I will say for the record they certainly have changed since then and they've learned the lessons -- that for example U.S. soccer never learned with Hope Solo.

So, you know, there are examples there. But I think in terms of why, you know, why throw the book at Brady? Well, I think he deserves it, first of all. It's to the integrity of the game as we've talked about before.

It's a buzz word. Maybe that falls flat. But if you look at the media out there and if you look at every city by Boston even in Boston, I understand there's -- the fan polls whatever those mean, maybe 30 percent of fans are saying that Brady should be punished. And that's in Boston or New England, those numbers I'm sure fluctuate and I'm not going to base a lot on that.

But the reality is that around the country, Brady's image has taken a huge hit. I don't think people will ever look at him the same way. And, again, I think it's -- if you don't participate in the actual investigation, you keep your texts, you keep your e-mails, you will not give those to the NFL and then you come out and you bash the NFL -- that doesn't make sense to me.

[06:55:09] PEREIRA: You know, it's interesting we just had a conversation about Hillary Clinton the CGI funding and some of the controversy there and Michael Smerconish was talking about the fact if you're pro Hillary you won't see it as a big deal, if you aren't you'll find reason to be critical.

I wonder if it's going to be the same thing here, Coy. If you're a Patriots fan, he's our boy, it's all good, it's not a big deal and other people saying it's cheating.

WIRE: There's no question about it. Cheating is cheating, right? There's a reason that the deflation of the football is a rule. There's a reason to the quarter of an inch, the length of your cleats is a rule. That you can't use stick 'em, that you can't put slippery substances if you're an offensive lineman on your jersey. There's a reason your toe can't be on the line on kickoff, it has to be behind the line on.

Football is a game of inches. There are reasons that all these minute details there for each and every rule. A sin is a sin, is it not? Cheating is cheating, is it not?

So, when you look at what the patriots did with Spygate, they broke a rule, no videotaping allowed of your opponents. They did. Goodell did not take that lightly, $500,000 fine for Belichick, $250,000 fine for the organization and loss of a first round draft pick.

Cheating is cheating. It doesn't matter if it's seemingly insignificant. There's a reason rules are in place, there's a reason those footballs can't be underinflated.

CAMEROTA: Well, let us see what the NFL, what the commissioner decides. We'll be waiting with baited breath.

Christine and Coy, always a pleasure. You at home what's your take? We want to hear from you, use the hashtag or tweet us @NewDayCNN, or get out on Facebook, Facebook.com/NewDay.

CUOMO: This one keeps percolating but there's a lot of news out there. So, let's get to it.

(BEGIN VIDEOTAPE)

CUOMO: Proof the polls can be very wrong.

UNIDENTIFIED FEMALE: An absolute political earthquake.

DAVID CAMERON, BRITISH PRIME MINISTER: There's only one opinion poll that counts and that's the one on election day.

PEREIRA: The chilling warning. Thousands of Americans are in direct contact with ISIS right now.

UNIDENTIFIED FEMALE: They are recruiting and tasking at the same time.

CUOMO: Should Baltimore's mayor be held responsible for the destruction during the riots?

LORETTA LYNCH, ATTORNEY GENERAL: I assure you, senators, that I am listening to all voices.

STEPHANIE RAWLINGS-BLAKE (D), BALTIMORE MAYOR: I'm asking the Department of Justice to investigate.

BRADY: We earned and achieved everything that we got this year as a team.

UNIDENTIFIED FEMALE: I was a little surprised of him saying he hadn't read the report yet.

ANNOUNCER: This is NEW DAY with Chris Cuomo, Alisyn Camerota and Michaela Pereira.

(END VIDEOTAPE)

CAMEROTA: And good morning, everyone. Welcome back to your NEW DAY.

We do have breaking news this morning: an election stunner across the Atlantic. Conservatives and the Scottish National Party winning big in the United Kingdom despite projections of a close race with the Labour Party and Liberal Democrats whose leader has already this morning stepped aside.

CUOMO: Big questions, why were the polls so off? And what does this mean, this big win, for British Prime Minister David Cameron in helping the U.S. more on terror?

Now, though he was voted in by the people he must go before the queen. And that happens within the hour.

So, CNN has this story covered the way only we can. And we begin with Richard Quest live on the streets of London -- Richard.

CAMEROTA: Sort of.

CUOMO: You OK up there?

RICHARD QUEST, CNN INTERNATIONAL CORRESPONDENT: On the top of big red bus, # bigredbus.

We're moving across Westminster Bridge. And any second in a minute Big Ben will chime noon. But the political graveyard today is littered with the careers of politicians.

At the front of our bus here he is David Cameron. He has the best seat in the House for one simple reason, Chris. He is the one who will be returning to Westminster. He'll be returning to Downing Street as the chief minister -- a complete and utter landslide.

And behind just look at the remnants and wreckage of other careers. They're all left behind. Party leaders, Nigel Farage, Ed Milliband, Nick Clegg, all expected to -- they either have resigned or they're expected to resign, Chris, in the next couple of hours -- an absolute stunning outcome in the British general election. And it's just coming up to 12:00 midday -- Chris.

CUOMO: Richard, you gave me a lot to digest there, my brother. Let me ask you this. What is being said this morning about why the polls were so off? What was this disconnect between the perception and the reality on election day?

QUEST: It was 1992 all over again. They didn't want to admit that they were going to vote for David Cameron. Big Ben chiming, it's not every network that will give you that. Top of the hour.

Chris, the public simply didn't want to tell that they were going to vote for Cameron, that actually they believed the Tories had done a good job. In Scotland, Labour was wiped out and the coalition partner, the Liberal Democrats, they took all the bells.