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Cleveland Playing Host for Tomorrow's Debate; Investigators Begin ID Work on Flaperon Today; Disney Stock Tumble after Earnings Report. Aired 10:30-11a ET

Aired August 5, 2015 - 10:30   ET

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


[10:29:50] MATT BORGES, CHAIRMAN, OHIO REPUBLICAN PARTY: But we did make some tickets available to the public.

And in the first two days that we had that e-mail address open to the public, we got over 7,000 requests. So we shut it down right away so we didn't end up with tens of thousands of unhappy people who requested but couldn't get in. But it just was an indication to us of how much excitement and enthusiasm there was out there and it was really great to see.

We'll get as many folks as we can -- a lucky few hundred did get to take advantage of those public tickets and they're going to be part of the experience tomorrow night.

CAROL COSTELLO, CNN ANCHOR: You know, scalpers might be out there. You might be having to put -- that's crazy.

BORGES: I don't think that's going to happen but --

COSTELLO: I don't either. I'm just kidding.

(CROSSTALK)

You say Republicans have in your words, an opportunity to show the community a different side of the Republican Party. What do you mean by that?

BORGES: Yes, well, I think we certainly -- we're are seeing in Cleveland with the convention coming here next year, with our Governor John Kasich who will be on the stage in Cleveland tomorrow night as one of our candidates for president who carried Cuyahoga County, a county that our candidates for president have lost very badly in recent previous presidential elections.

It's a different side of our party. We've got to take advantage of this opportunity to show that this is a community we care about. This is a community that John Kasich and other Republicans have reached out to and really made inroads to. I think at some point in time, maybe our party kind of stopped trying. I'm glad that our party has recognized that and know that this is an area that we can really make some important inroads in and do better. And we're going to have to do that if we want carry Ohio in 2016.

No Republican has ever gained the White House without carrying Ohio. So we're going to have to do that in 2016 and we're going to make this part of that formula to make sure that we do that. I think the next president of the United States will be standing on that stage tomorrow night.

COSTELLO: OK. So John Kasich is very popular in the state of Ohio at the moment -- right. But he squeaked into the top tier, right. Donald Trump is going to suck all the oxygen out of the room. John Kasich is stuck on the end there, Donald Trump in the middle.

What advice would you give John Kasich so he can stand out from the crowd?

BORGES: Well, I certainly don't know that anyone's going to suck all the oxygen out of the room. And I don't know that John Kasich needs to do anything to stand out from the crowd.

COSTELLO: Even Donald Trump?

BORGES: Not even him. But I don't know that our governor needs to do anything to stand out from the crowd, certainly not here in Ohio, not here in Cleveland given all the things he's done to help the Cleveland schools, to be part of a solution --

COSTELLO: Yes. but he's got to convince the rest of the nation. He doesn't have to convince Ohioans. He's got the nation in this -- I mean he's got to convince the nation. What can he say?

BORGES: You're absolutely right. I think we're seeing his numbers already start to move up in places like New Hampshire. That really set the tone for who our nominee might be. But it's going to be incumbent upon all these candidates to press their message, including John Kasich tomorrow night. And this is the opportunity to do that.

All of the speculation and all of the preparation finally comes to an end and those cameras go live, those lights go on and we'll all be real happy when that event finally comes.

COSTELLO: OK. So do you want to bet me -- do you want to bet me? Will the word "idiot" be used, do you think?

BORGES: Well, I certainly hope not.

COSTELLO: I know.

BORGES: I certainly hope not.

COSTELLO: Me, too.

Matt Borges, thanks so much. Matt Borges -- chairman of the Ohio Republican Party.

BORGES: Thanks for having me.

COSTELLO: You're welcome. Coming up in the NEWSROOM, investigators from around the world

have unsealed the debris found on Reunion Island. We'll tell you what the next steps are coming up.

(COMMERCIAL BREAK)

[10:38:20] COSTELLO: All right. It has happened again. More shots fired near Camp Shelby in Hattiesburg, Mississippi. As you know, shots were fired there yesterday around 11:45 a.m. Eastern time. This time, shots were fired at 8:00 Eastern in the morning. And it came from the supposedly same suspect.

I'm reading from the press release right now. The shooter is described as a white male in a red pick-up truck, make and model unknown. And police go on to say this is the same description of the man described to authorities during yesterday's incident.

The best news I can impart to you about this is no one was hurt at Camp Shelbi but Camp Shelby does remain on heightened alert. But again, more shots fired near that center -- that training center.

We'll have much more on this in the hours to come on CNN.

In other news this morning, we may be closer than ever to finding answers in the search for missing Flight 370. A former director of France's investigative agency tells a CNN affiliate that there is, quote, "Almost no doubt that the flaperon found last week does in fact belongs to the missing airliner."

This latest news coming as expert teams from France, Malaysia and Australia have begun work at a specialized lab near Toulouse, France.

Saima Mohsin is following the story. She has more for us. Hello.

SAIMA MOHSIN, CNN CORRESPONDENT: Carol -- hi. Well, those crucial examinations are taking place right now inside that lab. You'll remember that everyone had to be present before they could even open the seal to the box to that flaperon. Now, we know it's from a 777 but we needed to confirm, certainly, that it's from MH-370 at least for the passengers and crew members' families and loved ones.

[10:40:02] And hopefully, Carol, at some point today we will have some kind of information from what went on inside this lab. We have been told -- CNN has been told by the French prosecutor's office that they will release a statement tonight about what's happened today. And if, that's a big if, if they do find something and can make a decision, they will let us know tonight. And that will be a huge relief, of course, for everyone who's waiting.

Now, what's going on inside? Well, the United States NTSB, Boeing, Malaysian authorities, Chinese officials and an Australian official joining French authorities there today to be a part of this investigation. Now, they're likely to run tests like sonograms and x- rays. We also understand Rene Marsh did a story just yesterday looking

at what investigators do and told us that they're likely to use some kind of 3-D imagery to take a very detailed look at this piece. And once they've done that, they'll then examine the exterior. Are there scratches? Is there some kind of sign of an explosion. Not likely of course to be any kind of residue at this stage it's been at in the sea for so long.

There are barnacles and marine life all over it. And incidentally those barnacles are also interesting in terms of their position -- Carol. One analyst telling CNN that the plane will normally have been coated in a special paint and that means that marine life wouldn't be able to grow on a flaperon like this. But the fact that they have shows that the paint has been stripped away. Is this where the flaperon was pulled away from the main body? Does it tell us that it came off in the air or when it hit the sea? So hopefully at some point we'll know whether this is from MH-370 and how that plane went down in the Indian Ocean -- Carol.

COSTELLO: All right. Saima Mohsin reporting live from France this morning. Thanks so much.

Still to come in the NEWSROOM, maybe Disney isn't the happiest place on earth after all. We'll tell you why next.

(COMMERCIAL BREAK)

[10:46:29] COSTELLO: Disney might be the happiest place in the world but not on Wall Street today. Stocks are taking a tumble following a bad earnings report.

Brian Stelter and Christine Romans join me now to break it all down.

CHRISTINE ROMANS, CNN CHIEF BUSINESS CORRESPONDENT: Stocks down big.

(CROSSTALK)

COSTELLO: That was an evil laugh.

ROMANS: It's kind of relative. I mean they had a great movie, the theme parks are doing fine. It seems they're doing great. Their movies are doing well, though not necessarily overseas. But the real problem seems to be the TV part of the business.

And you have the stock down big-time this It's down eight percent, nine percent and it's worst. This is a Dow 30 stock. So that's a pretty big move. It had been the best-performing Dow stock of the year.

BRIAN STELTER, CNN SENIOR MEDIA CORRESPONDENT: It was the darling of the Dow. Disney is still up 20 percent for the year. But there is clear and real fear on Wall Street about ESPN. ESPN is by far the most profitable part of Disney. It mints money for the company. It will continue to do that. But it's starting to show some weakness. You can see the drop there -- right.

ROMANS: But they've lost some high-profile talent this year. How much of that has to do with this?

STELTER: Yes, Keith Olbermann, Bill Simmons' leaving. I think the biggest factor is subscriber losses at least a million or two people have dropped ESPN They've chosen a smaller cable package in the last year or so. ESPN still has the vast majority. Pretty much everybody watching right now has ESPN on the dial. It still has -- 90 million-plus homes.

But because there's been a little bit of a drop, investors are concerned about what that means for ESPN going forward.

COSTELLO: The other fellow was ESPN right. It's paying like mondo dollars to carry a sporting event.

STELTER: Six dollars a month per subscriber: Everybody watching now pays $6 a month for ESPN. Even if they never turn the channel on.

COSTELLO: I mean the cost to ESPN -- right. They're paying mondo dollars for sporting events on their network.

STELTER: That's right. The reason why ESPN costs $6 a month per person is because games cost hundreds of millions of dollars to televise -- yes.

COSTELLO: Yes. So what's the answer?

ROMANS: Well, the answer right now is a sell-off in the stock quite frankly. I mean the way investors are saying. Its' that there's a problem to sacrifice too high for that. You know, "Bye Bye Girl" on the call with investors and analysts basically.

He's talking about all these challenges but he did point out -- this is a -- ESPN is strong. ESPN has been (INAUDIBLE)

STELTER: It really is.

ROMANS: There's a strong demand for ESPN. Although they're just changing behaviors and changing ways we're consuming media.

Yes, there's pressure but it's not as if, it's going to all crack and end. It's just right now I think there'll be some pressure to coming out of the stock. Investors taking the moment to breathe.

COSTELLO: Right now it just feels really, really bad.

ROMANS: They're still happy about Avengers but they're so said about the so sad about the stock beforehand right -- they could use some superheroes this morning.

COSTELLO: Before you go we have to talk about interest rates.

ROMANS: We It looks like interest rates are going to rise in September. And here's why have this most recent clue -- another Fed -- set officials, someone who actually makes this decisions in the "Wall Street Journal" saying it's time. Unless there's a big deterioration in the American economy. Next month interest rates will rise".

That means it will cost you more per car loan. It will cost you more for mortgage. It will cost you more for credit cards. This is the single cash that probably matters Themorsat. Tell us there'll will be no surprise to people that higher interest rates are coming. Please lock in your re-fi everyone higher interest rates are coming.

Or buy that new house now if you can afford it. What this actually means two things about the economy. It means the economically is strong enough to weather. And remember, rates have been low for nine actually. You could have a baby that's a second grader now.

By the time he's been -- the last time we had interest rates rise. You know, that's a very long time. It's time for rates to rise and that shows actually strengthening the American economy.

COSTELLO: Christine Romans, Brian Stelter -- thanks to both of you, I appreciate it. We have a little video this morning of the chaos inside that New Hampshire Tent just moments before it collapsed on Monday. Killing a father and his eight year old daughter. These new images released as officials try to figure out how the structure could have gone up without paperwork from the local fire department.

[10:50:04] Chad Myers has more for you.

(BEGIN VIDEO CLIP)

CHAD MYERS, AMS METEOROLOGIST: New video this morning showing the heart-pounding moments from inside the circus tent that collapsed on Monday, killing two spectators and injuring dozens more. The big top giving way to severe weather less than 20 minutes into a performance in Lancaster, New Hampshire --

UNIDENTIFIED MALE: Watch your children.

MYERS: Panic and chaos, spectators desperately scrambling to get out of the way of flying poles and uprooted stakes under the collapsed structure.

UNIDENTIFIED MALE: People who were part of the circus just yelled, run. Next thing you know, the tents coming up and over.

MYERS: Open flaps on the side of the tent flailing wildly in the high winds. The tragedy claiming the lives of a father and his young daughter. 41-year-old Robert Young and his eight-year-old daughter Annabelle fatally struck by a flying pole. Nearly 40 spectators hospitalized, many seriously injured.

UNIDENTIFIED FEMALE: I saw probably things that I'll never want to see again.

MYERS: 23 minutes before the collapse, the National Weather Service issued a severe thunderstorm warning. Officials saying it's likely a microburst packing winds of up to 90 miles per hour hit the area at the time of the collapse. Investigators are now trying to determine whether circus organizers are criminally culpable for the incident.

BILL DEGNAN, NEW HAMPSHIRE STATE FIRE MARSHAL: It's really the responsibility of the show to monitor the conditions and we don't know why they were going on at that time or what they knew.

(END VIDEOTAPE)

MYERS: When thunder roars, go indoors. And a tent is not indoors -- Carol. Clearly, there a tragedy in Lancaster. And we're going to have severe weather here even today, again for tomorrow. If you are outside, you just need to go inside. It's that simple. Even in a car is better than being outside because of all that lightning -- Carol.

COSTELLO: All right. Good advice, Chad Myers, thanks so much.

MYERS: Welcome.

COSTELLO: Checking some other top stories for you this morning, at 51 minutes past the hour.

After a two-day manhunt, an ex-convict accused of gunning down a Memphis police officer will appear in court. Tremaine Wilbourn is scheduled to be arraigned this morning on first-degree murder charges. His appearance happening on the same day a memorial service is planned for Officer Sean Bolton. He shot and killed Bolten when he interrupted a drug deal.

COSTELLO: Ohio prison staff are on alert after a drone has turned into a drug mule. Officials say the unmanned aircraft dropped the package right into a prison yard. Inside that package, tobacco, marijuana and heroin.

At least 75 prisoners joined in the all-out fight for the package. Guards had to use pepper spray to regain control.

Still to come in the NEWSROOM, If you've been called this name by Donald Trump, you are not alone.

(BEGIN VIDEO CLIP)

DONALD TRUMP (R), PRESIDENTIAL CANDIDATE: They're losers. They're just losers. We have losers. We have losers.

(END VIDEO CLIP)

(COMMERCIAL BREAK)

[10:57:13] COSTELLO: "Loser". That's the word said by Donald Trump almost as much as "you're fired".

Jeanne Moos takes a look at the candidate's favorite insult. (BEGIN VIDEOTAPE)

JEANNE MOOS, CNN CORRESPONDENT: It's a word Donald Trump isn't usually at a loss for.

TRUMP: We have losers. We have losers.

MOOS: Sometimes, the loser is generic, but usually the loser has a name.

TRUMP: Well, Rosie is a loser. She's always been a loser.

MOOS: Trump is always tweeting the L-word. His targets range from Web sites, "The Huffington Post is such a loser", to pundits.

TRUMP: You know, when I watch George Will or Charles Krauthammer, you know, I watch them for years, they're losers. They're just losers.

MOOS: He even called a Miss USA contestant a disgruntled loser after she called his beauty the contest rigged.

TRUMP: She suffers from a thing called loser's remorse. She lost.

MOOS: And she did lose the lawsuit he later filed.

In Donald Trump's world, there seem to be varying degrees of loserdom.

He has called fellow Republican Karl Rove a loser, a proven loser and a total loser.

After Russell Brand was a major loser, to which Brand responded, "Are you drunk when you write these tweets?"

As for Cher -- bang, bang, he shot her down.

TRUMP: Cher is somewhat of a loser. She is lonely. She's unhappy.

MOOS: When he is feeling happy, he tweets to everyone, including all haters and losers. Happy New Year. When asked about his name calling --

MARTHA RADDATZ, ABC CORRESPONDENT: Using terms like dummy, loser, total losers -- is that something you would continue doing if you were president?

TRUMP: Oh, I don't think -- look, when people attack me, I, you know, let them have it back.

MOOS: Trump quoted his own book, "Show me someone without an ego and I'll show you a loser."

But compared to Ace Ventura -- UNIDENTIFIED MALE: Let's go, Ace.

UNIDENTIFIED MALE: Loser.

MOOS: Trump's delivery is low key.

Jon Stewart wondered what Trump would say about our Founding Fathers.

JON STEWART, COMEDY CENTRAL: John Hancock, he's a loser. Hey. What kind of a loser needs to put his name in giant letters on everything?

MOOS: Jeanne Moos, CNN --

TRUMP: Rosie is a loser.

MOOS: -- New York.

(END VIDEOTAPE)

COSTELLO: That Thursday night debate is going to be something -- right? Thank you so much for joining me today.

I'm Carol Costello. "AT THIS HOUR" with Berman and Bolduan starts now.

JOHN BERMAN, CNN HOST: Jeb Bush digs out of a new campaign trail gaffe.

Hillary Clinton digs in as the FBI investigates her e-mail.

And Donald Trump digs himself. And announces a new debate strategy, call it the art of all of a sudden friendly.

KATE BOLDUAN, CNN HOST: And pressure is mounting on President Obama over his Iran deal. American Jewish leaders confronting him and now some Democrats coming out against him.

Moments from now, the President delivering a major speech to try to win over those still undecided.

Attack America first, attack America now. That's from al Qaeda's most --