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Explosions Intensify At Guatemala's Fuego Volcano; Facebook Confirms Data Sharing With Chinese Companies; Source: Bolton Tried To Derail North Korea Talks; Democrats Aim For Republican Seats Across California; Kate Spade Dies By Apparent Suicide; World Headlines; Forced From Home; Data Breach; Scrapping The Swimsuit; Women In Tech. Aired 8-9a ET

Aired June 06, 2018 - 08:00   ET

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

[08:00:00] (COMMERCIAL BREAK)

KRISTIE LU STOUT, CNN ANCHOR: I'm Kristie Lu Stout in Hong Kong, and welcome to News Stream.

(BEGIN VIDEO CLIP)

LU STOUT: Intensifying explosions, Guatemala's Fuego volcano has erupted again with scores of people still missing. Questionable data practices,

Facebook faces new scrutiny for giving user information to firms in China. And disappearing by the minute, how rising seawaters are threatening

Louisiana's Cajun Culture.

(END VIDEO CLIP)

LU STOUT: We're only beginning to grasp the full extent of the devastation in Guatemala. The death toll is now at 75. Nearly 200 people are missing

as more hot gases and rocks from the Fuego Volcano race down the mountain.

Rescuers briefly suspended operations on Tuesday as explosions ramped up again. There are some survivors who say multiple members of their families

are missing. Now, CNN is on the ground in Guatemala new the volcano. Patrick Oppmann joins me now. And, Patrick, nearly 200 people are missing.

What's the latest on the desperate search to find them?

PATRICK OPPMANN, CNN CORRESPONDENT: That search is still ongoing, Kristie. Let me just show you about one of the hardest hit areas of this disaster --

this natural disaster looks like. We're in a town called El Rodeo, and there are still thick, thick bands of ash here. Just deep -- about knee

deep if it wasn't so wet.

Look at this car. This is -- this car was flung by this pyroclastic flow that came down, a mixture of mud, and lava, and ash. And it came down --

raced down the volcano, which is just behind me, and flung this car against the house here. That is the force with which the volcano struck this

community.

And in the background we're still seeing smoke coming out of the volcano. There was a bit of more pyroclastic flow yesterday that caused some

evacuations, and actually police have told us to park our car facing downhill right now in case we have to run any moment.

They are very concern. This is very much an active situation. And you just look over here, and you know, you see a telephone both that's still

buries in the ash, began clearing, some of the debris, and some of the disaster areas, they're still finding bodies here.

They told me that there is a house yesterday just down the street here, what would a street, they found a house with six children that had all died

from very, very severe burns. So talking to some of the Guatemalan rescue workers here, they're incredibly affected by this tragedy. It's the worst

thing they say they've ever seen.

There was a house behind me where a family lived that 18 family members all are believed to have perished. The head of the family was a head of a

local church here, so it's affecting so many different people, so many different communities.

And yes, they are working in preparing this road, getting this community cleaned up, but you can tell that this part of Guatemala will never be the

same, Kristie.

LU STOUT: You know, a nightmarish landscape around you. And yet search must go on despite the risk of potential mudslides, and the risk of

potential additional eruptions. How are authorities there coping with it all?

OPPMANN: Well, they're trying to keep safe. Even this morning when we were walking out, at one it was still dark, and one of the gentlemen that

was guiding said touch over here, and I touched the ground, after two seconds it was still too hot from the Sunday's events that I had to take my

hand away.

So it's still very much an active situation. They're pointing at one point to us, don't walk down there, that could be dangerous. They of course have

to mind their own safety first because they know that this volcano can kick up at any moment.

And unlike any other volcanoes that we have seen where the lava flow so much slowly, you have time to evacuate, here walking out, we saw burned out

cars, we saw cars that had their tires absolutely melted. It gave you a sense that people are trying to evacuate, and trying to load their

possessions in cars, and they just didn't have time. That's how quickly things can change on the ground here.

LU STOUT: And the clouds of volcanic ash, is that posing a public health concern?

OPPMANN: The smell here is unlike anything I have ever experienced. It is just the sick somewhat sweet smell.

[08:05:01] And some of that obviously could be bodies that they still need to find, but a lot is just the burned out trees of volcanic ash. And it's

really something you shouldn't be breathing for a very long time.

And you look around, this should be a lush, verdant landscape. And much of it is completely burned out, is buried in ash, and you can't really tell

that large parts of this area were a neighborhood. People lived here.

This was Sunday when this terrible tragedy occurred, and people were sitting down for lunch. It was Market Day. And families were getting

together, and they said residents that I have talked to, there was some smoke coming out.

And people actually got closer to the volcano to see what was happening. They have no sense that their lives were in danger. And it happed so

quickly. Many people going to survive, ran away, never looked back, and they have no idea what happened to their families.

LU STOUT: Patrick Oppmann reporting live for us near Fuego Volcano, the scene of the disaster there in Guatemala, thank you so much, and do take

care.

Now, on Hawaii's Big Island, the Kilauea Volcano disaster, that just got a whole lot worse. On Tuesday, hundreds of homes were destroyed by a slow-

moving lava flood.

A scenic bay was completely covered by the flow. The government says 80 percent of those homes are believed to be vacation residences. There have

been 12,000 earthquakes in the area since May the 4th. And about 18 square kilometers are covered by lava.

Now another story that awe are following very closely here on News Stream, Facebook is once again under fire for its sharing policies, and now the

tech giant confirms it gave its users' personal data to several Chinese companies, including Huawei.

The smartphone maker that has come under scrutiny from U.S. intelligence agencies, that on top of the other data sharing deals that Facebook

reportedly has with dozens of other device makers like Apple and Samsung which we reported on earlier in the week.

Now the other Chinese firms including Lenovo, Oppo, and TCL, which makes Alcatel that sells Blackberry phones, and all of this is once again raising

concerns about what Facebook is doing with its users' information.

A New York Times investigation reveals some of what Facebook shares including your education information, your work information, your

relationship status, as well as religion, and political leanings. Now, Samuel Burke is in London. He has been following the story for us. And,

Samuel, according to Facebook, why did it share user data with Huawei?

SAMUEL BURKE, CNN BUSINESS AND TECHNOLOGY CORRESPONDENT: Kristie, Facebook has a very interesting explanation for all of this. They say it's from a

bygone error when they weren't apps stores, and so the phone makers were having to them -- make the apps themselves.

But what that doesn't explain is why then would they still need to hand over that information that you just listed. If they are making an app so

that I can use Facebook on a Huawei phone back in the day, why do they need to know what my religion is? What my political leanings are? Where I

work?

So some of this -- really it's very hard to square this peg. On top of that, Facebook is saying that we have ended these partnerships, even though

they're saying, well, there's thing wrong with these partnerships. Take a listen to what Paula Newton asked the Facebook Vice President. She asked

him in hindsight, do you guys regret any of this program, and take a look at what he said.

(BEGIN VIDEO CLIP)

IME ARCHIBONG, VICE PRESIDENT OF PRODUCT PARTNERSHIPS, FACEBOOK: We do believe that what we did here is good. There's -- we haven't detected any

misuse of these experiences, and ultimately, you know, we announced back in April that we were winding some of these experiences because of the fact

that there's -- that the people that are using them make up a smaller portion of the overall Facebook community these days, and it's a good time

to make a help you transition.

PAULA NEWTON, CNN CORRESPONDENT: So, you are saying you would do it all over again? If I hear you, you're stopping these relationships because

they're technologically obsolete, not because you thought there was anything wrong with these 60 companies using the data?

ARCHIBONG: That's absolutely right.

NEWTON: So you would do it all over again?

ARCHIBONG: That's absolutely right.

(END VIDEO CLIP)

BURKE: They would do it all over again, but they only decided to end the partnerships with companies like Apple and Huawei after -- not before,

after the Cambridge Analytica scandal, Kristie.

LU STOUT: Further fuelling concerns about how Facebook is handling our data, and just how transparent it is. Samuel Burke reporting, thank you so

much. Huawei has been struggling to break into the U.S. market.

It is facing continuous pushback there because of outstanding security concerns. The U.S. Congress release a report back in 2012 that said

Huawei, as well as the Chinese tech company ZTE should be viewed with suspicion.

In 2013, Huawei claims that it was giving up on trying to sell equipment in the U.S. It wasn't entirely done with the U.S. though. Huawei did launch

talks with AT&T to sell its smartphones, but those plans fell through at last minute at the start of the year.

And then in February, U.S. intelligence agencies had struck another blow by warning Americans not to buy Huawei phones, not to buy a ZTE smartphones

over security worries. In March, Huawei lost its toe hold in the U.S. as Best Buy said it is dropping the firm's products.

Let's get more on Huawei's complicated relationship with the U.S., and Facebook with Duncan Clark, he is the Chairman and Founder of BDA China.

He joins me live from Beijing.

[08:10:00] Duncan, good to see you. Welcome back to the program. Let's talk about this interesting commercial arrangement here. Why did Facebook

share user data with Huawei?

DUNCAN CLARK, CHAIRMAN AND FOUNDER, BDA CHINA: Well, I think as we just heard, you know -- first of all, thank you. You know, this goes back a

long time when Facebook was, you know, in this massive land grab, still is to some degree, but this was the pre -- really the app world that we know

today.

And so they were looking at working with a plethora of device manufactures to make sure that people could access even through low bandwidth or to pre-

app store environments, you know, to Facebook.

But it doesn't explain as we've just heard why they didn't stop this stuff. And you know, it is a very complicated relationship as you said, as we know

on Facebook, it's complicated with China, Facebook itself is not here in China. To some extent China blocked Facebook, but Facebook didn't block

China. And why is that?

LU STOUT: Yes, there are a lot of security concerns in the U.S. about Huawei because of its relationship with the Chinese government. So the

outstanding question is this, by handing over user data to Huawei, did Facebook also allow the Chinese government to be in access to data on U.S.

citizens?

CLARK: Well, you know, Facebook said that didn't happen. By the way the complicated relationship between, you know, the U.S. and Huawei is not

shared around the world. I mean, you know, Huawei is now I think number two player in the world, bigger than Apple in in terms of selling the

devices.

Particularly in Europe, in South America, you know, parts of Africa, but not in the U.S. as we have heard. Both selling equipment for the networks,

which is key if we move it to 5G, but also devices, you know, Huawei has been blocked.

And the links for the government remain sort of unproven. But of course any large Chinese company has a relationship with the Chinese government.

So, you know, Huawei has been greatly frustrated by these accusations.

And actually, we just rely on reports from, you know, senators who have access to security briefings who say, you know, we can't use this stuff.

But that is not shared universally. But, of course, on the back of Facebook's problems in terms of privacy, and data, and trust, this is not

helpful at all to Facebook's case.

LU STOUT: You know, or for Huawei. But we do know that this is a political problem for Huawei, and this was a Chinese tech company that was

already under such scrutiny -- intense scrutiny in the U.S. Should Huawei be bracing itself for even more fallout after this Facebook data sharing

revelation?

CLARK: Well, you know, Huawei doesn't have that much products in the U.S. as we have heard, they have been blocked from entrance into the market even

though they not part of them, in fact, Rick Perry the, you know, Republican, and a former governor of Texas went to the opening of Huawei's

facility in Richardson, Texas.

And so, you know, locally, you know, Huawei has been a big employer and investor, but they have been frustrated in terms of selling top down

through government, and through carriers. But in other countries as in the U.K. for example where I'm originally from, you now, the U.K. intelligence

services test with Huawei equipment in the network there.

Because, you know, it's hard to say no to Chinese tech, when these Chinese tech firms are so big in terms of lowering the price of equipment, and

devices. And you know, U.S. consumers pay a lot more than many others for their devices. The question is what price is privacy? And is this well

founded?

We just don't know the information that the U.S. government says they have on this, you know, stuff. And there was an interesting piece in the Wall

Street Journal recently saying, maybe they can shut down the network.

But if they started putting backdoors in everything, you know, that would be the end of their business, you know. So, unfortunately, this is a very

gray area, but certainly, you know, Huawei has almost given up I would say on selling majorly into China -- into the U.S.

LU STOUT: Yes, very -- into the U.S. Yes, very gray area as you put it. It's really hard to imagine how the situation could get any worse for

Huawei in the U.S. market. Duncan Clark of BDA joining live, thank you so much, and take care.

Now, you are watching News Stream. Up next, after a lot of back and forth, the Donald Trump and Kim Jong-un meeting is set for next week, but CNN is

learning that U.S. State Department officials believe that National Security Advisor John Bolton deliberately tried to derail those talks. And

they are pointing to this comment he made just last month.

(BEGIN VIDEO CLIP)

MARGARET BRENNAN, CORRESPONDENT, CBS NEWS: I this it a requirement that Kim Jong-un agree to give away those weapons before you give any kind of

concession?

JOHN BOLTON, NATIONAL SECURITY ADVISOR OF THE UNITED STATES: I think that's right. I think we're looking at the Libya model of 2003, 2004.

(END VIDEO CLIP)

LU STOUT: Now, Bolton's reference to the Libya model infuriated both North Korea as well as the U.S. President, and now Bolton is being sidelined in

the summit preps while Mr. Trump instead places his trust in the U.S. Secretary of State Mike Pompeo.

CNN's Alexandra Field joins me now live from Seoul with more on this. And, Alex, let's talk more about John Bolton. Sources saying that the State

Department believes he deliberately tried to derail these talks, and Bolton now apparently being sidelined. That must be welcome news there on the

Korean Peninsula.

ALEXANDRA FIELD, CNN CORRESPONDENT: Right. According to sources, it certainly doesn't seem like a mistake or a miscalculation that Bolton would

make the Libya reference. Certainly he knows that this is something that would set off alarm bells within North Korea.

It apparently also took the president aback. You then saw the President and the Vice President trying to peddle back those remarks, trying to

smooth things over.

[08:15:00] In fact it was the Vice President also went on T.V., and tried to clarify saying North Korea would only end like Libya if there wasn't a

deal that was reached, if there wasn't some kind of agreement that was come due.

But still, it did touch a nerve in North Korea. You had the whole conflict that led to the temporary cancellation of the summit, and it seems now in

order to get this summit back on track, in order to get everyone to the table that Bolton has been sidelined.

The most hawkish figure in the administration is off to the sidelines as Pompeo and the President Trump make every effort to ensure that this

meeting does goes off. So certainly this would be welcomed to North Korea.

They don't want to hear references to Libya. As far as South Korea is concerned, they have made it very clear from the start, Kristie, that their

priority is to get the U.S. and North Korea to the table. They believe that talks are the best start to some kind of peace process, and to greater

stability here.

So whether something significant comes from this meeting or not, South Korea, certainly we see it as a positive step forward. And they will be

supportive of whever it takes really to get there.

LU STOUT: And with Bolton out of the picture, the meeting is now on. June the 12, you know, in Singapore. We know exactly where. Why at Sentosa?

FIELD: Right. The Capella Hotel on Sentosa Island, apparently this took a number of meetings before both sides could agree to this. We understand

that there were teams from the U.S. and North Korea who have about four different meetings just last week before agreeing to the location.

According to sources, the top concern for North Korea when it came to selecting a location for this summit came down to security. This is all

coming together rather quickly, or at the 11th hour.

I guess, Kristie, and the explanation for that from these sources was that it took a long time in terms of the communications with North Korea because

whatever the team on the ground thought or saw, they needed to communicate that information back to their superiors in Pyongyang.

They'd have to wait for an answer before agreements could be made. So a location is set. A time is set. And we are now just days away. We will

see. Kristie.

LU STOUT: There we have it. Alexandra Field live in Seoul for us, thank you. You're watching News Stream. Coming up, we are following a busy

election night in the United States as Democrats try to gain back some power in Washington.

Plus, the fashion world mourns Kate Spade. Her death by suicide stunts New York. We will take a closer look at her life, as well as her legacy.

(COMMERCIAL BREAK)

LU STOUT: Coming to you live from Hong Kong. Welcome back. This is News Stream. Now ballots are still being counted in California following

primary races in eight U.S. states, and the results could have massive implications for the Democrats.

These races are critical to the bigger fight, the midterm elections in November, when Democrats across the country will push to recapture the

House of Representatives. The most eagerly watched contest on Tuesday was in California, but voting hit a snag with more than 100,000 people were

left off the roster because of a printing error.

[08:20:01] California holds a jungle primary where the top two vote getters regardless of party advance to November's race. But it could be days if

not weeks before final results are known. Miguel Marquez is following it all for us from Los Angeles. He joins us now live. Miguel, expectations

were high for the Democrats, but uncertainty as well.

MIGUEL MARQUEZ, CNN CORRESPONDENT: Yes. Look, they wanted to pick up a lot -- they hoped to pick up a lot of seats here in November. There were -

- there's 53 members of Congress from California. Only 14 of those are Republican seats.

Democrats nationally targeted 10 seats, seven of those districts are districts that Hillary Clinton won, where Republicans now hold office, and

Democrats were hoping to turn those.

Because we have this jungle primary out here, which means the top two vote getters regardless of party advance to the general, there were so many

Democrats that got into several races that they were unsure if they were going to split the vote so much that only the Republicans would float to

the top.

And they would -- it would be a Republican race despite this massive Democratic enthusiasm in certain parts of the states, in places like Orange

County, a place where no Democratic president has won for 80 years.

Alf Landon was the last time, a Democrat won in Orange County, and Hillary Clinton won this last time around. So they had great hope. It looks like

Democrats avoided disaster in California. There are two races that are still undecided there. But it looks like there will be a Democrat on the

ballot in all 10 of those races that they were targeting come November.

LU STOUT: And, Miguel, the Republican Party, it managed to avoid a shutout in the race for governor there in California.

MARQUEZ: Yes. Republicans were very, very concern that they were going to have no body at the top of the ticket in California, nobody running state

wide, which would depress Republican turnout November. They have one, possibly two. The governor -- the governor's race Gavin Newsom, the former

San Francisco, easily went through as the Democratic choice for governor.

But he had a hard fought race with the former Los Angeles Mayor Antonio Villaraigosa, but it was the Republican John Cox who went forward. He had

been supported by President Trump. He is now in the number two position, and he will be on the ballot.

Dianne Feinstein, long time senator from California, she may face a Republican, but it looks more likely that she may face somebody to the left

of her, Kevin de Leon. So it's an interesting race there for Democrats come November.

LU STOUT: All right, Miguel Marquez reporting live from L.A., thank you so much, take care.

MARQUEZ: You got it.

LU STOUT: The fashion world, and fans of her signature handbags are shocked, and heartbroken. Kate Spade, founder of Kate Spade New Yorker has

died at the age of 55, apparently by suicide. Her designs made high fashion accessible to the masses, handbags with simple lines in functional

shapes, bold colors, a professional woman's must have.

She sold the last of her stake in the company in 2006. But the brand lives on. The website has this tribute, quote, Kate Spade, the visionary founder

of our brand has passed. Our thoughts are with her family at this incredibly heart breaking time. We honor all the beauty she brought into

this world.

Now we are learning more about her death, and the suicide note that was found inside her apartment. CNN's U.S. Correspondent Brynn Gingras joins

me now from New York. And, Brynn, such devastating and shocking news, Kate Spade, this incredible talent behind this major brand, what more have you

learned about her death?

BRYNN GINGRAS, CNN U.S. CORRESPONDENT: Yes, it's really reverberate all around the world. Well, today we are expecting to get an update from the

medical examiner's office. But right behind me is the Manhattan apartment where Kate Spade apparently killed herself. Her housekeeper is the one who

discovered her body according to police sources.

Now, the circumstances surrounding this tragic ending are still unclear at this point. Investigators are still trying to find some of those answers,

but of course this all happens as the entire world remembers a fashion icon.

(BEGIN VIDEOTAPE)

KATE SPADE, AMERICAN FASHION DESIGNER: Hi, I'm Kate Valentine Spade.

GINGRAS: The death of designer Kate Spade stunning the world, prompting an outpouring of support for the fashion trail blazer whose colorful handbags

defined not only a look, but lifestyle.

JOE ZEE, FASHION JOURNALIST: We lost an incredible vision. We lost an incredible human being. We lost an incredible woman, who really paved the

way for all of these other designers to be able to do what they do.

GINGRAS: Spade was found dead in her New York home by her housekeeper after allegedly hanging herself with a scarf. Sources say the 55-year-old

left behind a suicide note that addressed both her 13-year-old daughter, and her husband of 24 years Andy Spade. The pair launched their name sake

design company from their New York apartment in 1993 after meeting as students at Arizona State University.

SPADE: So Andy and I were out, honestly, to a Mexican restaurant.

[08:25:00] And he just said, what about handbags? And I said, honey, you just don't start a handbag company. And he said, why not? How hard can it

be?

GINGRAS: Spade leaving fashion magazine Mademoiselle where she was an accessories editor to enter the design world.

SPADE: I didn't grow up thinking I'm going to be a designer.

GINGRAS: Her brand initially focused on just six signature handbags shapes that were stylish, but affordable.

ZEE: I think what Kate did with her collection was so unfounded back then, where she created this idea of needing an it bag, but at an accessible

price point.

GINGRAS: The company rapidly expanding into the multimillion dollar empire, offering jewelry, shoes, and clothing. By 1999, Neiman Marcus

bought a majority share for more than $30 million, and in 2006, Kate and Andy Spade sold the remaining stake in the company which was purchased most

recently last year for $2.4 billion.

UNIDENTIFIED FEMALE: Is there anything you know now you wish you had known back then?

SPADE: Yes, to worry less. I wish I worried less.

GINGRAS: Actor David Spade honoring his sister-in-law with this Instagram post noting, she was so sharp and quick on her feet. She can make me laugh

so hard. It's a rough world out there, people. Try to hang on.

(END VIDEOTAPE)

GINGRAS: And again, she leaves behind a 13-year-old daughter, and a husband of 24 years. Now, as the entire world remembers how Kate Spade

influenced maybe their personal closets, and the fashion industry as a whole.

I want you to hear how Kate Spade herself said she wanted to be remembered in an interview with Glamour magazine back in 2002. She said, quote, I

hope that people remember me not just as a good businesswoman, but as a great friend, and a heck of a lot of fun. Kristie.

LU STOUT: Oh, her designs influenced and defined the entire generation. Our thoughts go out to her family. Brynn, we thank you for you reporting,

and take care. Brynn Gingras reporting live from New York. You're watching News Stream.

And still ahead, the coast of Louisiana is literally disappearing, and coming up we have a special CNN on why those marches will never be the

same.

(COMMERCIAL BREAK)

LU STOUT: Kristie Lu Stout in Hong Kong. You're watching News Stream, and these are your world headlines.

(BEGIN VIDEO CLIP)

LU STOUT: At least 75 people are dead, and nearly 200 missing in Guatemala after rock and ash from the Fuego Volcano buried communities close to the

eruption. Many survivors lost their homes, and now are staying in Shelters like this one in a local church. On Tuesday, the volcano belched out more

ash, and more hot gas two days after the first eruption.

[08:30:00]

The Israeli prime minister is headed to London, the last stop of his European tour. Benjamin Netanyahu is hoping to convince leaders to follow

the U.S. and abandon the Iran nuclear deal. He was in Paris on Tuesday. French President Emmanuel Macron says he believes the deal needs to upheld.

China is warning the United States to, quote, stop picking quarrels after two U.S. warplanes flew over the South China Sea on Tuesday. It was

neighboring countries dispute China's claim that the islands are Chinese territory. China's Foreign Ministry said it will take all necessary

measures to safeguard its sovereignty.

Losing Louisiana. The southern U.S. state is shrinking as land mass in coastal areas disappears at an alarming rate, putting people, homes and

long-held lifestyle all at risk. CNN's Jennifer Gray reports.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE (voice over): Cajun culture is something that you do with your heart. You're born with it.

JENNIFER GRAY, CNN WEATHER CORRESPONDENT (voice over): Phil and Don Richard (ph) are doing their part through music to help the Cajun culture

coastal Louisiana thrive. A culture that is under massive threat due to rapid land loss.

UNIDENTIFIED MALE (voice over): When you lose the marsh, you lose it from the inside out.

GRAY (voice over): More than a football field size of land disappears here every 100 minutes.

UNIDENTIFIED MALE: The water keeps coming up worst every year.

UNIDENTIFIED MALE: Wipes out a lot of the marsh. You know, just eats away at it. It's like a bad cavity.

GRAY (voice over): More than 10,000 miles of canals have been dredged through the Louisiana's bayou to support the oil and gas industry barges

and pipelines, bringing millions of jobs to the area. But not without a price.

GARY LAFLEUR, BIOLOGY PROFESSOR, NICHOLLS STATE UNIVERSITY: There's a whole lot of oil and gas infrastructure in this area. And especially in

this area here is right where the most accelerated coastal land loss on earth is happening.

GRAY (voice over): Biology professor Gary LaFleur says as more natural barriers disappear, salt water from the gulf floods in, eroding the terrain

and changing the nature of this fresh marshland.

UNIDENTIFIED MALE (voice over): That's the evidence that there used to be enough freshwater here, all these oak trees were alive.

GRAY (voice over): Once the lush barrier islands and marshes are gone, biologist Ron Bustani (ph) said, the region has little defense against

increasingly powerful gulf storms caused by rising sea levels and climate change.

UNIDENTIFIED MALE: Without these marshes, we will just get wiped out here in the coastal Louisiana.

GRAY (voice over): And without the marshes, the Cajun life along the bayou vanishes along with the coastline.

UNIDENTIFIED MALE (voice over): Everything just disappears.

GRAY (voice over): The loss of industry is something that Dean Blanchard (ph) knows well. At the height of his career, Blanchard (ph) said he was

pulling in between 80 to 100 full shrimp boats a day. Now, he is lucky if he gets four.

UNIDENTIFIED MALE: Probably had more (INAUDIBLE) in the last 15 years than what we've seen in the first 50 years while I was alive. There was nothing

but land and trees when you look back then. Now all you see is water. Let it all go. Makes you want to cry, really.

GRAY (voice over): It's also been threatening entire communities who call the bayou home. One of those communities is Cecile Dejan Charos (ph), an

area once the size of Manhattan, now one-third the size of Central Park and shrinking fast.

The federal government has stepped in and spending almost $50 million to relocate residents to higher ground as early as next year. But some

resident like Johnny Tamplet (ph) say they aren't leaving their homes.

UNIDENTIFIED MALE: I didn't buy it to live here. I bought it to die here. Because this is my paradise.

GRAY (voice over): A paradise likely to be lost to the sea in his lifetime. Tamplet (ph) says there's plenty of blame to go around.

UNIDENTIFIED MALE: The biggest factor that brought on what's happening here is greed. The core of engineer, the oil company. It's also the people.

They don't want to claim responsibility for what they did. It's killing Southeast Louisiana.

UNIDENTIFIED MALE: This rock bank is an effort to just re-establish the banks at the bayou.

GARY (voice over): Luis (ph) and his team are doing what they can to rebuild the marsh.

UNIDENTIFIED MALE: They will lay the pipe and they will pump the mud from the bottom of the lake into here, and literally create overnight instant

marsh.

GRAY (voice over): A project like this costs tens of millions of dollars and restores between 300 to 600 acres. But a lot more has to be done to

save the land and culture destroyed unabated for decades.

UNIDENTIFIED MALE (voice over): We invited industry because we needed industry. But we probably did not care as much as we should have about our

homeland. There is something that we have to pay from the past and there's something that we have to do to me sure it gets better in the future.

GRAY (voice over): Jennifer Gray, CNN.

(END VIDEOTAPE)

LU STOUT: Beautiful landscape and a way of life is disappearing.

[08:35:00] At least six Louisiana parishes are now suing energy companies that have operated along the coast. And CNN asked multiple representatives

from the energy industry to be part of the story and we receive no response.

In a recent op-ed, the outgoing president of Louisiana's oil and gas association said this, quote, these oil and gas producers who have lawfully

fulfilled their state-issued permits are now being sued for as far as 80 years prior. These are not welcoming arms to business and industry of any

sort, adding that the litigation is turning job creators away from the area.

Now, China's tech scene is booming. It's arguably catching up to Silicon Valley's influence on the global stage. But it's also dealing with some

social issues. We're going to take a look at how one China tech CEO is dealing with sexism and the gender gap.

(COMMERCIAL BREAK)

LU STOUT: Coming to you live from Hong Kong. Welcome back. This is "News Stream." If you have sent in your DNA to the My Heritage Site to find out

about your ancestors, you might want to change your account password. The site says over 92 million of its user e-mails and passwords were leaked to

a private server in October.

My Heritage says that it only found out about the breach on Monday and it assures users' DNA information is stored on separate systems from the one

that stores e-mail addresses. Still, this breach is renewing worries about the privacy and security concerns around these DNA testing sites.

Now, the Miss America pageant says bye-bye to the bikini. That's right, the swimsuit competition is out. Gretchen Carlson, who chairs the

organization's board of directors, says they will no longer judge contestants on physical appearance. Instead, there will be a live

interactive session with judges.

(BEGIN VIDEO CLIP)

GRETCHEN CARLSON, CHAIRMAN, BOARD OF TRUSTEES OF MISS AMERICA PAGEANT: We have always had talent and scholarship. And we need to message that part of

the program better as well. But now we're adding in this new caveat that we're not going to judge you on your outward appearance because we're

interested in what makes you you. Tell us about your goals and your achievements in life.

(END VIDEO CLIP)

LU STOUT: Carlson also says that Miss America competition will be more inclusive to women of all shapes and all sizes.

Now, there are signs that the U.S. is slowly moving closer to addressing gender inequality. Bikini contests are going, more women are fighting for

representation in government posts, but another major country is still lagging behind in dealing with sexism.

China is a prominent power in many sectors like the tech scene but its gender gap is still a big issue. The World Economic Forum ranks China at

100 out of 144 in gender parity.

Let's bring in Jane Sun, CEO of Ctrip, the leading travel company based in China. She has been very vocal about including more women in business. She

joins us now from Shanghai via Skype. Jane, good to see you. Welcome back to the program.

You are one of the few female CEOs of a major tech company in China. What are some of the challenges you and other working women have had to face and

deal with?

[08:40:00] JANE SUN, CEO, CTRIP: Yeah. When I first came back from (INAUDIBLE) China, I saw some advertisement in recruiting (ph) stating that

we're only hiring male employees from age 25 to 40. For me, that was very shocking because it's just not right.

In Ctrip, we offer a very good policy for females. For example, we never discriminate any gender. We only recruit people that qualifies for our job.

And currently, more than 50 percent of our employees are females. More than 30 percent of our engineers are females. And more than 30 percent of

advocates (ph) are females.

So I think if we set our mind right, we'll be able to cultivate a very equal opportunity for both men and females.

LU STOUT: There needs to be equality in recruitment, equality in opportunity as well as equal pay. And unequal pay, that is a fact for women

around the world. How have you in specific practical terms addressed that issue of unequal pay at Ctrip?

SUN: Yeah. I noticed that at year end when it's time for promotion, more male managers come to talk with me, talking about their promotion.

But fewer female managers will come to have the same conversation with me. So when we coach our female managers, I always encourage them to seek help

(ph) and also to be recognized for their contributions.

LU STOUT: In recent years, China's tech industry has boomed. It has made a lot of money, minted (ph) quite a number of billionaires. But have enough

women been profiting from that boom in China?

SUN: Yeah. China is moving very fast in terms of capturing the opportunities in the internet space. We do see lots of good female leaders

largely in (ph) the industry. But still, not as many as males. So, for me, I always want to encourage our employees regardless of their gender to

deliver with everyone else and also speak up when it's their time to do their presentation.

LU STOUT: Yeah, to speak up and to deliver. Jane Sun, CEO of Ctrip, thank you for joining me and take care.

SUN: Thank you, Kristie.

LU STOUT: And that is "News Stream." I'm Kristie Lu Stout. Don't go anywhere. "World Sport" with Alex Thomas is next.

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[08:45:00] (WORLD SPORT)

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