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NEW DAY SATURDAY

Al Qaeda Threat Prompts Warnings; Global Travel Alert Issued; Snowden in Secret Location in Moscow; Cyclospora Traced to Mexico Plant; Suicide Bomber Kills 9 Children; A-Rod: "I'm Going to Keep Fighting"

Aired August 3, 2013 - 07:00   ET

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


(BEGIN VIDEO CLIP)

ROBERT BAER, CNN INTELLIGENCE AND SECURITY ANALYST: Twenty-one embassies and consulates is a lot. I mean this is really sending a message that we're under serious threat.

(END VIDEO CLIP)

BRIANNA KEILAR, CNN ANCHOR: Americans be on alert. That is the warning from the U.S. Government, as it plans a massive embassy shutdown and issues a worldwide travel alert.

VICTOR BLACKWELL, CNN ANCHOR: If you hate pop-ups, you will loathe this. Facebook may have a new ad plan for your news feed. Find out what they are charging for this.

LINDSAY LOHAN, ACTRESS: Do you really like movies? I don't know, maybe it's not my thing anymore.

KEILAR (voice-over): And most critics agree, fresh out of rehab, and back on the screen, Lindsay Lohan's new movie isn't getting rave reviews.

(END VIDEOTAPE)

KEILAR: Good morning, everyone. I'm Brianna Keilar.

BLACKWELL: Oh, Lindsay.

I'm Victor Blackwell. 7:00 here at CNN headquarters. This is NEW DAY SATURDAY.

We're starting on a serious note. The reminder that al Qaeda is still throughout and still a threat.

KEILAR: That's right. The U.S. is worried that al Qaeda could strike again, prompting it to close almost two dozen embassies and consulates.

Late details from CNN's Emily Schmidt in Washington.

So, Emily, what specifically led the Obama administration to pull the trigger on these embassy closings? EMILY SCHMIDT, CNN CORRESPONDENT: Victor and Brianna, you're right. Just a few hours away from these closings.

It came as a result of a really what was a big uptick in chatter. Officials have been tracking this intelligence information for weeks, maybe even a couple of months. But in the past few months, they said that chatter increased. They really believe that Yemeni-based al Qaeda in the Arabian Peninsula could be in the final stages of planning an unspecified attack.

Now, they're especially concerned about the next few days. Ramadan is going to be entering its final days. The embassy closing is officially scheduled for Sunday, but we're told it could be extended. Officials tell CNN the terror threat includes Western and U.S. targets and that worldwide travel alert, which was issued separately but certainly in conjunction with this extends through August 31st.

BLACKWELL: Emily, we've got a map that we want to put up to show you and our viewers. If you would, just talk about just how much of an area this covers. A lot of ground covered here.

SCHMIDT: Yes, you take a look at that. I mean, you're talking about nearly two dozen embassies and consulates, a huge area. All of that in yellow. But if you look closely, you see Yemen almost right in the middle. One official says that threat really appears to be centered right there, coming from al Qaeda in the Arabian Peninsula. The threat is considered credible. Officials say they are taking it very seriously.

But here's the problem, official say there's also not clarity of what could be planned. That is why the alert is so broad. It's covering those 22 embassies, really concerned about U.S. personnel all across the region.

Also important to note, most of those embassies and consulates typically closed on Friday and today. So, they would normally be open tomorrow. By closing them, officials are hoping it would prevent having people who might be standing in long visa lines outside as targets, something that could put more people at risk.

KEILAR: And, Emily, the anniversary of Benghazi coming up next month. Talk about how that's feeding the caution in what you see in how the administration is handling this.

SCHMIDT: Yes, you think about that deadly attack that happened in Benghazi, almost a year ago. It was September 11th of 2012. That, of course, was when we saw the deadly effects of an attack on the U.S. There were four Americans killed there, including Ambassador Christopher Stevens.

And after that, the Obama administration was really criticized for maybe not taking some threats seriously enough when it happened. And officials say this time, they're acting out what they calling an abundance of reaction.

So, what's the reaction on this? Well, here's one of them, Representative King, who's a member of the House Intelligence Committee, and is a Republican from New York said yesterday when you look at the reaction, to have this many embassies being closed, he said it shows how seriously the government's taking this threat. In his words, the government right now, doing exactly the right thing -- Victor and Brianna.

KEILAR: Yes, that's important because he is the chairman of that committee. So, certainly, the Obama administration will feel comfortable with the fact that he's giving it some props in how they're handling.

BALCKWELL: You can't say too much, but this is appropriate.

KEILAR: Appropriate. That's right.

All right. Emily, thanks so much.

SCHMIDT: Thanks.

KEILAR: Now, if you're traveling anytime in the next four weeks, you have to be on alert. That's just the deal. There's a worldwide travel warning that's in place from the U.S. State Department.

BLACKWELL: It says Americans traveling abroad need to be cautious.

And CNN's Nick Valencia, he's at the busiest airport in the world. That's Atlanta's Hartsfield-Jackson.

Are you talking to the travelers there? And if so, what do they think about this, Nick?

NICK VALENCIA, CNN CORRESPONDENT: Yes, we had time to talk to some travelers yesterday. I'll get to that in just a moment. It's important to note, Victor, domestically, is this not much of a change. It's business as usual.

Even for the travelers going abroad, traveling internationally, the State Department says that they won't see a visible change in security as a result of this travel warning. In fact, we've spoken to airlines as well. No cancellations, no changes in flight schedules.

But getting back to those passengers that we caught up with yesterday, there are some that are more worried than others.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: For the State Department to go ahead and have the embassy close the embassy on Sunday, I mean, it's worrisome. And I don't think America jokes with security. When they say something, they mean it. So I'm worried.

VALENCIA: Because?

UNIDENTIFIED MALE: Certainly, at the end of the day, if what they are scared of happens, incident lives are lost.

(END VIDEO CLIP)

VALENCIA: So that traveler is worried. Others are taking this big warning less seriously. The State Department, they do recommend things for those that are traveling internationally. The first and foremost, is tell the embassy where you're going, the country you're going. Tell the U.S. embassy, let them know that you're going to be in the country.

The second is to register, Victor and Brianna for STEP. That's the smart traveler enrollment program. I went and registered yesterday just to take a look at the process of signing up. You put in your passport information, emergency contact information. It helps the State Department keep track of you and also sends alerts to your phone.

And the final one, the State Department is putting updates, regular updates, on its Web site. There are also other airline industry groups, trade groups, Airlines for America, www.airlines.org. They're also monitoring the security situation and the travel alert. And they'll be posting updates as well -- Victor and Brianna.

KEILAR: All right. Nick, thank you for that. I never actually registered my travel with an embassy. In this case, it might be something that I would consider doing, finally.

BLACKWELL: I went through that process yesterday.

KEILAR: Yes.

BLACKWELL: Not too difficult.

KEILAR: Yes.

BLACKWELL: Hey, the travel alerts come as the head of al Qaeda apparently is breaking his silence for the second time this week. In a newly released audio message, Ayman al Zawahiri purportedly accuses the U.S. of plotting with Egypt's military to overthrow Mohamed Morsy, to divide Egypt, and to get rid of an Islamist-leaning president. Now, earlier this week, he called attacks on American interests.

KEILAR: Now, we could hear from NSA leaker Edward Snowden soon. He's expected to speak publicly. And he's got a new place to call home in Moscow. He's also got a job offer.

So, let's go to our senior international correspondent Matthew Chance in Moscow. Matthew, any word on when we may hear Snowden speak?

MATTHEW CHANCE, CNN SENIOR INTERNATIONAL CORRESPONDENT: No, I mean, it's just a lot of speculation in Russia at the moment about when we might see Edward Snowden. When we might learn where he's living at the moment and when he might give an interview or news conference to the media that have come to Moscow to try to monitor the situation and get some word from him.

It's his second full day in relative freedom, after having left his sort of captivity, hiding, if you like, inside Moscow's Sheremetyevo Airport. He was there for more than a month. He left there with members of his entourage as well, 36 hours ago, and he's gone to a secret location.

Part of the reason for that -- solely the reason for that -- according to his lawyer, he's deeply concerned about his own personal security, even though he's in the Russian capital, relatively safe here from U.S. intelligence services. He says he still believes that the U.S. intelligence officials are chasing him. And that's why he's in a secret location. And that's why we haven't heard anything from him since he left that Moscow airport, Brianna.

KEILAR: OK. So we don't know where he is. But he has a job offer. Tell us about that, Matthew.

CHANCE: Yes, he does have a job offer. He's got the option of staying in Russia for up to a year, in the terms of his political asylum that has been granted by Moscow.

And one Internet kind of mogul in this country runs the Russian equivalent of Facebook. He's come out and said, look, I'll be very happy to give Edward Snowden a job, he can locate to my St. Petersburg office. But maybe, he will be interested in looking at protecting the personal data of the members of this Russian version of Facebook. It's not entirely clear whether it's a serious job offer.

But, you know, offers coming in, offers of jobs, offers of marriage, either from the expelled Russian spy Anna Chapman.

So, you know, Edward Snowden has some very decisions to make of what he's going to do if he's going to stay in Moscow for the long term.

KEILAR: Marriage proposals, fascinating and bizarre.

Matthew Chance for us in Moscow, thank you.

BLACKWELL: The company that did the last security background check on Snowden for the U.S. government is under investigation. That's according to "The Wall Street Journal." The paper says federal prosecutors and the FBI are looking into allegations that the Virginia-based U.S. investigations services firm rushed Snowden's security clearance review. A federal grand jury has issued subpoenas for official for that firm.

Now, Alex Rodriguez says that he will be back with the Yankees this Monday. And according to reports, the controversial slugger is facing a life-time ban, or suspension, for his alleged ties to performance- enhancing drugs. A-Rod, though, says he's become a target because people will benefit if he never plays again.

(BEGIN VIDEO CLIP)

ALEX RODRIGUEZ, NEW YORK YANKEE: I will say this, there's more than one party that benefits from me not ever stepping back on the field. And that's not my teammates. And it's not the Yankee fans.

(END VIDEO CLIP) KEILAR: Who is he talking about, Victor? That's the question. He won't specify.

BLACKWELL: Hoping to find out.

KEILAR: Yes, he won't talk about who is going to gain here from banning him over the PED scandal.

BLACKWELL: All right. Coming up, the FDA says it has pinned down the source of that stomach bug that sickened hundreds of people across the country.

KEILAR: Also, Time Warner pulling the plug on CBS, which means that millions of customers won't be watching "The Good Wife" this weekend? If you watch. We'll tell you why.

(COMMERCIAL BREAK)

KEILAR: That is as big deal right there. Show time at Yellowstone. The world's largest geyser, the Steamboat, erupting this week for the first time in eight years. You can imagine there were some very lucky park visitors who got to see this.

This is a high-pressure burst of steam. It went shooting 300 feet in the air. It lasted about 10 minutes and it is very rare. Park officials say the Steamboat geyser was gone as long as 50 years between major eruptions. You know, most people go for Old Faithful, every hour or two.

BLACKWELL: Yes, I have not been to Yellowstone.

KEILAR: It's amazing.

BLACKWELL: Yes, that's on the list. I want to go.

KEILAR: Must do.

BLACKWELL: I missed this day, unfortunately.

It could be a rainy weekend for some people. So, will rain spoil the weekend plans? Maybe it's going to help if you want to stay in bed all weekend.

KEILAR: Yes, or you need a little, you know -- wait, what?

BLACKWELL: Where are we going here?

(CROSSTALK)

KEILAR: It's just -- is this about your Tim Gunn interview, because I feel like maybe that's what you're alluding to?

BLACKWELL: No, no.

KEILAR: Stay tuned to that.

But let's bring in meteorologist Alexandra Steele in the CNN -- we do mean something by that.

ALEXANDRA STEELE, AMS METEOROLOGIST: Yes.

KEILAR: She's in the weather center. Alexandra, sorry for that.

STEELE: That's all right.

You know, if you want to stay home and have an on-demand weekend, right? We've all had those, right? You know, there are a few places. Here's kind of the big picture for today.

There's this cold front, and along it, it's doing different things. Kind of along the western portions of it, through Colorado and Kansas, there is a threat for severe weather, an isolated tornado. It's more like strong winds and hail today.

And then, along through the Ohio Valley, it's just kind of a rain train, and then, here into to the Northeast, ahead of it on the Eastern Seaboard. It's hot and humid on the back side. So, north the front, in the Upper Midwest, places like Chicago, much cooler than average.

So, lollapalooza heading there for the weekend. You can see today, temperatures only in the upper 70s. So, below average, but pretty comfortable to be out there with all that dancing going on.

Here's a look, south of that, here's the rain train, Cinci, really along I-70, I-80, through New York city, clouds and showers. That's what we're going to see. And it's really not going anywhere. That front's kind of stalling out and staying there for the day.

Again, here where we're seeing kind of the active weather. Nebraska, a severe thunderstorm watch there. Also here, from Kansas City southward, southwest of St. Louis, that's where we'll see potentially four to six inches of rain. This rain is coming down in earnest.

Again, a different type of rain, and that stratiform rain we've got with the cold front, which kind of just slowly kind of showers with rain. This is in earnest, coming down.

So, temperatures in the Upper Midwest, below average, Chicago, Pittsburgh, New York, as well, Boston. South of that, though, it's the first full weekend of August. Hey look at this. Dallas. Dallas, all that rain kind of moving up and above Texas. So high pressure dominating Texas. Temperatures staying there. In the 100s straight through Friday, guys.

Atlanta, sunny steamy, sultry weekend in the Southeast. Temperatures above average and not a lot of rain.

KEILAR: Great hair days for sure.

BLACKWELL: Alexandra Steele, thank you.

STEELE: Sure. KEILAR: Hundreds have been sickened in more than a dozen states. Now, the FDA confirms it was bagged lettuce from a processor in Mexico that made diners at two chain restaurants sick.

BLACKWELL: But the CEO of Taylor Farms tells CNN that all tests for Cyclospora at his company's Mexico plant have been negative. Meantime, the owner of Olive Garden and Red Lobster says the tainted food is no longer in its supply.

CNN chief medical correspondent Sanjay Gupta has this report.

(BEGIN VIDEOTAPE)

DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT: Brianna, we're getting information on what has caused the illness for 400 people in 16 states. As you remember, we've been talking about prepackaged, prewashed lettuce. That was a concern in Iowa. But we're now hearing specifically and directly from the FDA about produce from Taylor Farms of Mexico, going to the states of Iowa and Nebraska, and specifically being eaten in two restaurants which are Olive Garden and Red Lobster.

The FDA was actually able to look at four clusters of groups of people who had gotten sick, and figured out that they had eaten at these restaurants, and figured out that they have specifically eats produce that was infected with this parasite from Taylor Farms of Mexico.

Now, one thing I want to mention as well, Brianna, you may have heard of Taylor Farms before, because earlier this year, in February, they were actually part of the nationwide recall on baby spinach. That was Taylor Farm of Salinas, California, location.

But this is the second time this year Taylor Farms has been implemented. The FDA is saying is they're monitoring all leafy greens that are coming in from Mexico and conducting an environmental inspection down at the Taylor Farms of Mexico location.

As we get more information, Brianna, we'll bring it to you. Back to you for now.

(END VIDEOTAPE)

KEILAR: All right. Sanjay, thank you for that.

BLACKWELL: I hope you've got some "Amazing Race" backup on your DVR because CBS is going dark for millions of Americans this weekend. We'll tell you why.

And that DVR might let you speed through TV commercials, but it will not help you on Facebook. Next, the social media giant's latest ad push.

(COMMERCIAL BREAK)

BLACKWELL: Twenty-two minutes after the hour. If you wanted to watch "The Good Wife" or "The Amazing Race" or "Big Brother," you're out of lock. Time Warner Cable is pulling the plug on CBS in three major markets and 3 million customers are in the dark when it comes to those programs. The pair failed to resolve a dispute by the deadline they had set for yesterday's over-transmission fees.

So more talks have been scheduled. There's still hope that a deal would be worked out.

KEILAR: A lot of fans of those shows hope so as well.

Now, on Wall Street, investors shrugged a disappointing jobs report. The Dow Jones added 30 points on Friday, helping it to close in the green for the week. Employers added 162,000 jobs in July. And the unemployment rate ticked down two dodges to 7.4 percent.

BLACKWELL: Facebook may begin placing 15-second video ads in your newsfeed. The social media giant has not made it official, but Britain's "The Guardian" newspaper reports the ads will be similar to TV commercials and could cost advertisers as much as $2.5 million apiece.

Now, this move would capitalize on Facebook's huge user base and pad its bottom line. You got to think about how much those Super Bowl commercials cost for 30 seconds. A Facebook commercial is going to go to $2.5 million for 15 seconds?

KEILAR: Amazing.

BLACKWELL: It is amazing. That will make some money somehow.

KEILAR: Very expensive.

Now, some of the other top biz stories that are making news this week. You've got the Oprah Winfrey Network turning a profit, Victor, sooner than expected.

BLACKWELL: Because it was rough those first couple of years.

KEILAR: That's right, discovery which puts so much money into it, co- owns it, thought by the end of 2011 when it launched, they thought, OK, it's going to be doing all right. Sort of revised that hoping it's the end of this year, it turns out halfway through the year now.

BLACKWELL: Yes, viewers are finally tuning in. Oprah said if he had to write a book about starting a network, it would be called "101 mistakes." She's now found a way to get passed those. A few major gets for the network -- you know, the Lance Armstrong interview, the first interview with Whitney Houston's family after the death. Plus, her friend Tyler Perry came through with two big hits, "The Haves and Have-Nots.", and the comedy, "Love Thy Neighbor."

"The Haves and Have-Nots", that debut was the biggest debut for the network since the launch.

KEILAR: She's still behind TLC and Oxygen on viewers but ticking up, up and up.

BLACKWELL: She's on her way. Hey, Starbucks is ditching AT&T in favor of Google. It's a major coup for the search giant as they make a foothold as a Wi-Fi provider.

KEILAR: Yes. So, you've got 7,000 stores all across the U.S. And, Google, of course, what they're doing is putting in Wi-Fi that is faster. Starbucks loves that.

BLACKWELL: Here's the other thing. For the customer, it's free. So, it costs nothing. That's a good thing for.

Google says the Internet will be ten times faster. Nothing better than sitting there with this cold cup of tea -- I don't drink and the thing is going on and on and on and on.

You don't drink coffee?

KEILAR: I do when I'm desperate like this morning.

BLACKWELL: She's desperate this morning --

KEILAR: It's an early morning. So you might pay in lattes, though, right?

BLACKWELL: Yes, because you're sitting there waiting for it to load up.

KEILAR: Now, faster Internet means more texting which means your thumbs need to be up to the challenge, people. So, we present these -- thumb bells.

BLACKWELL: These are supposed to be dumbbells for your thumbs. These are the real dumbbells. This is the dumbest thing I've ever heard in my life.

KEILAR: Oh, come on.

BLACKWELL: You need to work out your thumbs?

KEILAR: Wait, this doesn't have -- you haven't had an injury?

BLACKWELL: No.

KEILAR: I have totally been injured during like covering health care reform. I was on Capitol Hill. And the worst was, I hurt myself. And had no choice, I had to keep going.

BLACKWELL: Brianna says she was hurt during health care reform --

KEILAR: I would totally -- I would totally work that out.

BLACKWELL: Now, she had to train her thumbs for texting.

KEILAR: Right?

BLACKWELL: All right. We'll be right back.

(COMMERCIAL BREAK)

KEILAR: Mortgage rates ticking up again this week. Have a look.

(COMMERCIAL BREAK)

BLACKWELL: Bottom of the hour now. Welcome back, everybody. I'm Victor Blackwell.

KEILAR: And I'm Brianna Keilar.

And here are the five things that you need to know for your NEW DAY.

BLACKWELL: Number one: the U.S. will close 20 embassies and consulates across North Africa and the Middle East tomorrow. That's because intelligence agents are hearing an uptick in chatter from al Qaeda. Now, one official says the latest threat appears to be centered in Yemen.

KEILAR: At number two, there has been a horrific attack in eastern Afghanistan this morning. Government officials say a suicide bomber killed nine children, 23 people were injured. A government spokesman says three attackers opened fire near the Indian consulate in Jalalabad. And one of them detonated a bomb.

BLACKWELL: One of the women kidnapped by Ariel Castro returned Friday to the house where he was held captive for 11 years. This is the third thing you need to know.

Michelle Knight stood outside the home in Cleveland, and then she chatted with a neighbor. That neighbor told CNN about the visit. And a woman said she'd told knight she'd seen her in the house, but thought the woman who is small in stature was a child.

KEILAR: And A-Rod says that he will be back with the Yankees this Monday, despite reports of a lifetime ban or suspension from the game of baseball, looming over Alex Rodriquez's head stemming from alleged steroid use. The controversial slugger seemed pretty confident in the press conference last night that he will suit up in pinstripes again in the season.

BLACKWELL: Number five: Raven-Symone has everybody talking with a tweet she sent. Most people remember her as Olivia on "The Cosby Show." And here's the tweet, "I can finally get married. Yea, government, so proud of you."

Now, when asked to classify, Raven-Symone's publicist added that Raven supports the recent change in laws as it relates to marriage equality.

KEILAR: With embassies in 17 countries set to close in just a matter of hours, sources tell CNN that al Qaeda is in the final stages of planning a terrorist attack. And they say other Western countries are targets, too, like Britain and Germany.

The area of the most concern seems to be Yemen. In fact, the U.K. is telling all citizens not to travel to Yemen and leave Yemen as soon as possible. Joining on the phone from Santa Fe, New Mexico is Christopher Hill, the former ambassador to Iraq.

Christopher, when we hear what's going on and the closures that are happening, it makes you wonder if this is preparation for another Benghazi-like attack. Is that what you think is going on?

CHRISTOPHER HILL, FORMER U.S. AMBASADOR TO IRAQ (via telephone): Well, I think the issue is, they have some pretty firm intelligence of a possible attack. The problem is, they don't know where. They don't know whether it might be multiple, you know, going back to the Kenyan and Tanzania attacks some 15 years ago. They're not sure.

So, I think, while they're looking for more information, they're saying, OK, you've had -- the embassies are all closed this weekend, which in the Arab world is Friday and Saturday, keep them closed, until we get some more information on this.

So, obviously, it's something they're taking extremely seriously. It's not just as they said, chatter. It's in fact that they have what they believe to be some real planning going on.

KEILAR: Now, Ambassador, when you look at the map of the affected areas, you're talking about from Southeast Asia all the way to Western Africa. This is a huge swath of land that is affected. When was the last time, if ever, that you've seen something like this?

HILL: Well, there have been incident where is they've closed down a number of embassies in the Middle East, because the information is not specific enough to say that embassy X would be closed as opposed to other embassies. But I think this -- closing all of these embassies in the Middle East to North Africa is in fact unprecedented. At least, I didn't see this in -- during my career.

KEILAR: And, certainly, it seems, that the concentration here on Sunday is because of this is a very holy moment, when you're looking at the Muslim calendar. Why --

HILL: Yes.

KEILAR: -- in your experience would terrorists seek to coincide with a day like this?

HILL: Well, again, I think that is a case where they have some information, and they're thinking, well, perhaps, this is the end of -- this is Ramadan ending in about a week, now, I must emphasize, that terrorist attacks seem to be happening all through Ramadan. So I'm not sure that's really the crucial factor in this.

But with the end of Ramadan, certainly, we have this, when I was serving in Iraq, there was an upswing of terrorism. And so, I think they're focusing on that. But I think the real problem is to try to figure out where this attack, or attacks, are being planned.

KEILAR: Do you think Americans at home should worry? Obviously, Americans who are traveling, maybe, following through on certain precautions, they may not normally, registering with the U.S. embassy, for instance? What about folks at home? Should they be concerned?

HILL: Well, I think the issue really is overseas embassies. I think the information is clear enough that it's overseas American interests. They did put out some travel warnings. And I think they've been also in contact with private business.

But I think these are the concerns on overseas American embassies in the broader Middle East. So I don't think this is an issue for people back in the U.S., certainly not based on the information that we're aware of.

KEILAR: Christopher Hill, very important story. So thank you so much for getting up early and talking to us. We really appreciate it.

HILL: No problem.

BLACKWELL: We'll continue our conversations about this throughout the morning.

But also big news, for fans of the 3D blockbuster "Avatar." Three -- not one, not two -- three sequels are in development.

And she's back --

KEILAR: Yes, fresh out of rehab. And critics are already tearing apart Lindsay Lohan's newest film. You want to her do well -- maybe not. We're going to show you some of it next on NEW DAY.

(COMMERCIAL BREAK)

BLACKWELL: And the Oscar host job goes to -- Ellen DeGeneres. That was me opening the envelope.

The daytime talk show host has been officially tapped to be the master of ceremonies at next year's big Hollywood award show. DeGeneres previously hosted the 79th Oscars. That was 2007 and snagged an Emmy nod for her work on that show.

KEILAR: That should be fun, I think.

BLACKWELL: Yes.

KEILAR: Let's get to other entertainment news.

Real trouble for "Real Housewives" stars. >

(VIDEO CLIP PLAYS)

BLACKWELL: She will never live down flipping that available.

KEILAR: No, Teresa, you remember her infamous flip-out on "The Real Housewives of New Jersey". Well, now, Teresa and her husband Joe have some bigger problems to deal with now that they've been charged in a conspiracy to defraud lenders and illegally obtain mortgages. BLACKWELL: Yes, and this is serious. We're talking mail and wire fraud, making false statements on loan applications, even bankruptcy fraud.

Kristin Klingshirn is the co-host Q100's Bert Show here in Atlanta.

And Teresa, she's pleaded not guilty. But this is what she's saying, "I had money" when she didn't. And she actually said I don't have money when she actually did.

KRISTIN KLINGSHIRN, Q100: It's hard to follow. It's very confusing. It's typical Teresa and Joe Giudice.

And I feel like to certain franchises of "The Real Housewives", I see this more in New Jersey. You try to live beyond your means for the camera. And that's going to get you in trouble every single time. "Real Housewives of Beverly Hills," they actually have the bank accounts to back it up.

But this time, Teresa and Joe Giudice have got themselves in a world of hurt -- much bigger problems than just flipping a table.

BLACKWELL: Do you think the show is going to stick around, though?

KLINGSHIRN: See, whenever I real watch "Real Housewives" I know they love the drama. I'm talking about -- anytime you see a teaser promo, it's the screaming matches, the fight. So, to me, I don't see how they can cancel "Real Housewives".

KEILAR: This is actually good for the franchise, but bad for the couple?

KLINGSHIRN: Yes. I mean, all the divorces that have happened throughout the years on all the "Real Housewives." I think this is something that Andy Cohen of bravo is just going to keep following.

BLACKWELL: Going to love.

All right. Let's talk about movies.

KLINGSHIRN: Yes.

BLACKWELL: Three sequels to "Avatar." Now, I'm probably one of the few in the world who has not seen the first one.

KEILAR: It's pretty good. It's amazing.

BLACKWELL: No, I haven't, because I didn't see it in 3D. I thought that was the whole point. I missed it, so it's over now.

KLINGSHIRN: Yes, James Cameron's motto, "go big or go home."

That's just how he's going to do it. "Avatar" is going to have their own section, Disney World and Animal Kingdom, all of this is going to roll out pretty much at the same time with the sequels. And this is going to be -- I mean, James Cameron knows movies. This is going to be massive blockbuster.

KEILAR: We don't know anything about the plot and how it continues, right?

KLINGSHIRN: This is all James Cameron. He's like he says that the story, there's enough material there for three sequels.

KEILAR: I hope.

KLINGSHIRN: I mean, that's a lot of movie time there.

KEILAR: I hope they don't jump the shark on it. That's a lot.

BLACKWELL: You know with "Back to the Future", once that one came out, it was over. It was over. I loved that first one.

KLINGSHIRN: I know it, I know it. That's the problem with sequels, you want it to be as good as the first. That's the probably you get into. And everybody's got high expectations for the next three movies.

BLACKWELL: OK, I think Simon Cowell is our next topic.

KLINGSHIRN: How can you not talk about Simon Cowell right now?

BLACKWELL: Holy cow, this is pretty scandalous.

KLINGSHIRN: It's very scandalous. Doesn't it seem like he's in a Lifetime movie right now.

BLACKWELL: So, what's being alleged here is that he has a real good friend, right, real good friend who's getting divorced from his wife, alleging that she cheated on him with Simon Cowell and is now pregnant with Simon Cowell's baby.

KLINGSHIRN: He actually put in the divorce papers that Simon Cowell is the co-respondent. Which means Simon Cowell would have to testify in the divorce proceedings. The pictures you see, looking back, hindsight is 20/20, I'm sure Andrew is looking back at pictures with Simon on vacation with him and his wife, and then Andrew leaves to go deal with business, leaving Simon there with his wife. He can only assume what happened while he was gone.

KEILAR: And in New York, I read that he could be forced to take a DNA tests. Is that right? That New York, this is something different with it, this is very serious stuff in New York.

BLACKWELL: Yes, DNA or not, my goodness, it might that closely involved that he may have to go on the stand during the divorce proceedings -- I want to get to Lindsay Lohan.

KLINGSHIRN: OK.

BLACKWELL: Yes, let's talk about her. She's out of rehab and back on the screen for this movie "The Canyons." Let's watch a little of "The Canyons". (BEGIN VIDEO CLIP)

LINDSAY LOHAN, ACTRESS: I don't know. Maybe it's just not my thing anymore.

(END VIDEO CLIP)

BLACKWELL: Now, you see it's affiliated with great movies. "American Psycho", "Taxi Driver", but the critics are killing this. It's a budget thriller. "The New York Times" calls it, "a dispiriting, unpleasurable work punctuated with splashes of vitalizing vulgarity."

"Hollywood Reporter", here's another. This is worse. "A lame, one- dimensional and ultimately dreary look at peripheral Hollywood types not worth anyone's time on screen or in real life."

KLINGSHIRN: They took it easy with that one, didn't they?

BLACKWELL: Well, compared to the reviews of "Liz and Dick." And she's been on the run of really films.

KLINGSHIRN: What people have to remember, they imagine the Lindsay now, that just got out of rehab that's getting her life. But the Lindsay who did this movie back in January was a very different Lindsay. She was going through a lot of trouble. You're not going to get the performance you're looking for. She's the star power behind this, so she's the one that's going to take the heat for this movie being this bad.

KEILAR: Didn't she nearly get fired off the film

KLINGSHIRN: She did.

KEILAR: Kind of before it really got rolling.

KLINGSHIRN: I mean, she's always late, chain smoking. Everything she was going through back earlier this year. So, she's not -- she's had 90 days of rehab right now. She's out. She's looking better.

And hopefully, she will be able -- I'm the biggest fan of a comeback. I'm hoping. We know she's talented. We've seen "Freaky Friday", we've seen "The Parent Trap." We know the girl has talent.

BLACKWELL: "Mean Girls", yes, "Mean Girls".

(CROSSTALK)

BLACKWELL: You know she's got this interview coming with Oprah. We talked about OWN. And she's got this reality show coming up, coming back from rehab. So, hopefully, things work out for Lindsay. But she's been on the run of really bad movies.

KLINGSHIRN: It only takes one good script to get you back out there.

BLACKWELL: Yes, that's true.

Kristin Klingshirn, thank you so much.

KLINGSHIRN: Thank you for having me.

KEILAR: Thank you. Now, coming up on "NEW DAY," it is time for the good stuff. A puppy born with a debilitating syndrome, walking for the first time thanks to a group of volunteers. Look at that cute little guy. We'll get all the details to you next.

(BEGIN VIDEO CLIP)

DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT: This week on "THE NEXT LIST", neuroscientist David Eagleman takes us inside the mind of a mass murderer.

DAVID EAGLEMAN, NEUROSCIENTIST: When you see somebody commit a very strange abnormal act like a school shooting or a massacre like the one in Aurora, Colorado, we can safely assume that there's something abnormal about that person's brain even before we know exactly what that is.

GUPTA: How modern neuroscience is challenging our basic understanding of crime, punishment and personal responsibility.

Don't miss David Eagleman, this Saturday, 2:30 Eastern on "THE NEXT LIST."

(END VIDEO CLIP)

(COMMERCIAL BREAK)

BLACKWELL: Ten minutes until the top of the hour now. Welcome back to NEW DAY.

We've got a must-see moment for you now.

KEILAR: Yes, we are getting the first look at the new star attraction at the Fort Worth zoo. Take a look at Belle, Belle the baby elephant. She was born on July 7th, weighing in at a dainty 330 pounds. This Asian elephant calf went without a name for a couple weeks, and Belle was actually short for Bluebell, Texas flower, delicious ice cream, so good, yes.

BLACKWELL: Delicious brand of ice cream.

KEILAR: So, yes. And that was the winning choice in the naming baby contest held by the zoo. So, Belle's 40-year-old mom Rasha (ph) was pregnant for 22 months with this bundle of joy. I was thinking, you know, if you're like dainty at 330 pounds, and elephant can be fun. But I think being pregnant for 22 months, there is a trade off. No thank you.

BLACKWELL: She is enjoying this pool.

KEILAR: Yes, that's a cute, cute baby.

BLACKWELL: And from the mouths of dads -- check out the reaction from this -month-old when dad sings the nationwide jingle.

(VIDEO CLIP PLAYS)

BLACKWELL: He's a fan of state farm. Oh, not a fan.

KEILAR: Do you like insurance companies?

BLACKWELL: Well, how would a dad even come to this? How do you feel about car dealers?

KEILAR: What kind of conversation -- this is what happens I think, you know, dads at home at kids -- oh, poor thing.

BLACKWELL: Poor kid.

KEILAR: Yes.

BLACKWELL: Time for the good stuff when we often tell you stories about people helping people. But rules were made to be broken, so we will break this one this morning. And this is great.

Mick the dog.

KEILAR: Yes, a baby Boston terrier. He was born with swimmer puppy syndrome. It means that mix little legs were splayed out to the sides. He couldn't walk, couldn't stand, couldn't even lift his head. And dogs die because of the pressure on their chests. Worst yet, they're often euthanized because people don't know what to do with them.

BLACKWELL: But not the volunteers at the Mia Foundation. They put little Mick through weeks of intensive therapy.

KEILAR: Oh, look at him.

BLACKWELL: He's at a harness, legs in the water, you see the (INAUDIBLE) at the top to strengthen those legs, hung him in a harness multiple times a day, even taping his legs and feet together to coax into the right position. And, finally, after all the time and dedication, look at this, something amazing.

(VIDEO CLIP PLAYS)

BLACKWELL: Look at that.

KEILAR: Go, Mick. Go, Mick.

BLACKWELL: He is not that graceful yet, but he is getting better every day. He is up and walking. And when he is ready he will adopted and will have a normal life.

People who helped Mick are sharing his story to show what's possible with a little time, a little effort, a harness in some water actually helps, too. Little tape. Yes, no hope is lost, and look at Mick moving around.

KEILAR: Beautiful little baby dog. I like her baby animals this morning. They're great. Yes, love it.

BLACKWELL: Hey, safe to say. These politicians not seeing eye to eye. After the break, we'll tell you which country's lawmakers got into a little feisty element on the floor of parliament and what all the fighting was about.

(COMMERCIAL BREAK)

BLACKWELL: Welcome back. Let's get you caught up with what is happening around the world.

KEILAR: First off, Iran has a new president. He's already causing controversy. Hassan Rouhani will be sworn in tomorrow. Yesterday, he was quoted as saying that Israel was a wound on the world that needed to be removed. Now, Iran's state-run is insisting that he was misquoted. Rouhani was elected in June and had pledged to seek a more moderate approach.

BLACKWELL: To Egypt now where tensions are rising in Cairo and across the country, really. Supporters of ousted President Mohamed Morsy said they will not stop protesting until he is back in power. Now, despite government demands the live the streets. Egypt is bracing for more protest today after Morsy supporters clash with security forces yesterday.

KEILAR: And wild brawl broke out on the floor of Taiwan's parliament. Check this out. Lawmakers throwing haymakers, wrestling on the ground, pouring water even on each other -- totally out of control. This happened during a debate after a proposal to finish building a nuclear plant on the densely populated island. It's actually a bill that's expected to pass easily, and I wonder what they do when the bill is not expected to pass easily?

BLACKWELL: Yes.

Finally, check this out. You are looking at the brand-new birth certificate of Prince George. There it is. The new prince who was born on July 22nd to Prince William and Kate has officially been registered.

KEILAR: And they had to put up what do you do, what is your occupation? It's like, prince. Not bad for mom and dad.

BLACKWELL: I'm a duchess.

KEILAR: You know?

And you those people that use two parking spaces to keep their car from getting scratched up, the most annoying people in the world.

BLACKWELL: I just said the words "I'm a duchess" on television.

(LAUGHTER)

KEILAR: I just let it go but I'm glad you --

BLACKWELL: Let's talk about this scratched car.

Co-workers decided to teach the owner of this jaguar a lesson, and they parked the truck next to the Jaguar. Look at this -- it took him five minutes to get in. Finally, he climbed through the passenger side window.

And as for the Jaguar's owner, he now parks out in the far corner of the lot to preserve his car and avoid the wrath of his prankster co- workers.

KEILAR: You watch out, Victor.

BLACKWELL: That happens, especially at my garage. They get so close. How am I supposed to get out? Personal thing.

Thanks for starting your morning with us.

KEILAR: We've got much more ahead on the next hour of NEW DAY SATURDAY, which starts right now.