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ERIN BURNETT OUTFRONT

Stocks Up More Than 1,200 Points Since Trump Victory; Trump Doubles Down on Threat to Cancel Boeing Contracts; Carrier Union Boss: Trump Lied About Jobs. Trump Praises Obama, Says "I Love Getting His Ideas"; Trump Tweets: Carrier Union Boss "Has Done a Terrible Job". Aired 7-8p ET

Aired December 7, 2016 - 19:00   ET

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


[19:00:05] ERIN BURNETT, CNN ANCHOR: OUTFRONT next, the Dow surging to new all-time high today rising 1200 points since Donald Trump won the White House. Does he get the credit?

Plus, a union boss says Trump, quote, "Lied his ass off about saving Carrier jobs." He's OUTFRONT tonight. And President Obama advising Donald Trump. Trump today gushing about how much he likes Obama. And this is genuine. How did it happen? Let's go OUTFRONT.

And good evening, I'm Erin Burnett. OUTFRONT tonight, all-time high. The Dow today surging nearly 300 points. That puts it at a record. And it is thanks to Donald Trump. The Dow up over 1200 points since he won the White House. Now, this surge coming even as Trump is taking on big business. Today the President-Elect doubling down on his threats to cancel Boeing's Air Force One contract.

(BEGIN VIDEO CLIP)

DONALD TRUMP (R), PRESIDENT-ELECT: We're going to get the prices down. And if we don't get the prices down we're not going order them.

(END VIDEO CLIP)

BURNETT: Trump did not stop with Boeing today. Also slamming some of America's most powerful companies. The drug makers, telling Time Magazine, here I'm quoting Trump, "I'm going to bring down drug prices. I don't like what's happened with drug prices." Trump fighting big business in almost every front tonight. He also said that he's going after companies individual whose ship jobs overseas. Saying, "I want to get a list of companies that have announced they're leaving." Trump reportedly said to his chief-of-staff, "I can call themselves myself, five minutes apiece. They won't be leaving."

Sara Murray is OUTFRONT at Trump Tower to begin our coverage tonight. And Sara, the President-Elect sending a very clear message to American companies, big companies today.

SARA MURRAY, CNN CORRESPONDENT: That's absolutely right, Erin. And while in the past Republicans have been critical of the notion of the government picking in winners and losers. It is clear Donald Trump is ready to be a different kind of president. He told Time Magazine for instance that he wants to see drug prices come down. Of course that is on the heels of him striking up a deal with Carrier not to move jobs overseas, as well as issuing this threat to Boeing that he would cancel an order for new Air Force One jet.

Now, all of this is coming as Donald Trump is building out his potential White House reading some new names in the mix today. I want to start with his pick to head the EPA. That is Oklahoma Attorney General Scott Pruitt. Now, this could be a controversial pick. We're already seeing Democrats seize on some of his past comments and call him a climate change denier. And he has questioned the impact of course on climate change in the past and he's been really in lock step with Donald Trump on a number of issues, particularly being critical of EPA regulations that affects the coal industry.

So, I think we could expect to see a little bit of Democratic push back again him on The Hill. Now one that might be elect controversial choice is Linda McMahon, formerly the CEO of the WWE. That is Donald Trump's pick to lead the small business administration. Familiar with his decisions, had Donald Trump was impressed with her business experience. That is part of the reason he felt she was the right back. And even know as a candidate Donald Trump may have been a little bit dismissive of the knowledge of the generals.

He's certainly tapping them to help him as he builds his White House team tapping retired General John Kelly to lead the Department of Homeland Security. No official announcement from the Trump transition team on that yet but a source confirms the pick to CNN -- Erin.

BURNETT: All right. Thank you very much, Sara. A lot of developments today.

And Trump's threat to Boeing is dominating the conversation at the plant in Washington State that actually would make the Air Force One Jet. America jobs. That is where Dan Simon is. And Dan, you were there at the plant, you have been talking to workers and what are they telling you?

DAN SIMON, CNN CORRESPONDENT: Hi, Erin. I spoke to a lot of workers. Some off camera but many on camera as well. And I have to say there is a general feeling of disappointment. You have to understand that these people take a lot of pride in what they do. They are making the President's airplane. So the mere notion that he would say, cancel the order in a casual tweet is insulting.

(BEGIN VIDEOTAPE)

KIRK MCBROOM, BOEING EMPLOYEE: The majority that I've talked to said that Trump really doesn't know what he's talking about.

SIMON (voice-over): Boeing employees weighing in on Trump's war of words with the company.

WAYNE LEVENSELLER, BOEING EMPLOYEE: I think a lot are disappointed right now. Hell yes.

MCBROOM: I was dumbfounded about why -- why he would say something like that. SIMON: What Trump said or tweeted was this, "Boeing is building a

brand new 777 Air Force One for future presidents, but costs are out of control. More than four billion. Cancel order!"

TRUMP: We're going to get the prices down and if we don't get the prices down we're not going to order them. We're going to stay with what we have.

SIMON: But the problem with what we have is the current pair of presidential 747s is aging. Nearly 30 years old and increasingly expensive to fly and maintain. The Air Force has yet to place a formal order for the new planes. But it set an initial budget of nearly three billion through 2021. Some analysts say a price tag rising to four billion isn't out of question.

SCOTT HAMILTON, BOEING ANALYST: Yes. The Air Force One is incredibly expensive on a pure dollar basis. But let's remember that this is a flying military command post. It isn't just a VIP airplane.

[19:05:07] SIMON: VIP features not found on your typical plane. Air Force One has to be capable of in-flight refueling. It also has to have missile avoidance systems and protections from the electronic destroying pulse of a nuclear blast.

HAMILTON: And let's also remember too that this airplane is going to last the next series of presidents for another 30 years.

SIMON: Boeing's CEO and the President-Elect say they will work together to keep the costs down. One Boeing worker who voted for Trump says, he didn't have much of a problem with the controversial tweet?

(on camera): Is it disappointing though to some Boeing workers that he'd say that?

PAUL PARKHURST, BOEING EMPLOYEE: Possibly. I don't know if it is with me.

SIMON: But if Boeing were to lose the business --

PARKHURST: It is a morale killer basically.

SIMON (voice-over): That is because making the presidential aircraft is an enormous source of pride for the Everett Washington community. And long considered a pillar for the plane maker. Boeing employing 30,000 workers here, the kind of folks attracted to the polls by Trump's brand to populism. But Kirk McBroom, a Boeing machinist, didn't vote for Trump and he's not impressed with what he's seen so far.

MCBROOM: You know he just doesn't think about what he's saying. And he just blurts, you know. So -- I mean that is just my opinion.

(END VIDEOTAPE)

SIMON: Now, analysts say the possibility taken the couple of 747s out of the pipeline even if we're talking about the Air Force One probably would not have an impact on the jobs or the worker's pocketbook. So, Erin the wound maybe more psychological than anything else.

Nonetheless, some of the workers we've talked to had the same advice for Trump that many others have had. And that is to stay out Twitter -- Erin.

BURNETT: All right. Thank you very much, Dan Simon.

OUTFRONT now, Anthony Scaramucci. He is a member of President-Elect's Trump Transition Team Executive Committee. He is also the founder and co-managing partner of SkyBridge Capital which manages about $12 billion. So, Anthony, you saw Dan's piece.

ANTHONY SCARAMUCCI, TRUMP TRANSITION TEAM EXECUTIVE COMMITTEE MEMBER: Yes.

BURNETT: You know, one employee there at the end --

SCARAMUCCI: Great to be with you by the way.

BURNETT: Nice to see you. You know, he doesn't believe what President-Elect says. But the other guy I thought that was very interesting said it is basically a morale killer. You know --

SCARAMUCCI: Listen, everyone is entitled to their opinion. It is clearly not meant to be a morale killer. I personally don't think it is a morale killer. What I do think it is is a very deal-oriented American president that is looking at taxpayer money very judiciously the same way he would as a private company holder. And so, he is looking at the expenses and intuitively, he knows it's a little out of whack and he would like to get it back into a zone that he'll feel more comfortable with. And so, what we do know with Pentagon procurement and you probably saw The Washington Post article --

BURNETT: Yes.

SCARAMUCCI: -- recently this week, you know, if you are losing $25 billion a year in procurement in terms of the inefficiency, let's try to clean that up for the American taxpayer. And so all the President- Elect is basically trying to message to people is that I'm going to be out there looking after your money like it is my own money.

BURNETT: Yes. So, you know, somebody had said look, you know what? That is why in Washington Post, it's a very interesting story. One hundred and twenty five billion dollars in money that was spent and they basically hid that it was spent badly. They won't even know about it. But Trump could have tweeted about that.

SCARAMUCCI: Yes.

BURNETT: He said, I'm going to do something about it.

SCARAMUCCI: Yes.

BURNETT: Instead of saying, I'm going to go after a specific airplane and a specific line of people who work on and cancel an order.

SCARAMUCCI: OK. But we have to remember about the plane. The plane is super symbolic. And for your viewers, those colors were designed by Jackie Onassis used to be a silver plane. This is plane is the presidency when it lands all over the world.

BURNETT: Yes.

SCARAMUCCI: And so, he's trying to send a big message to the American people, that we can get the plane on time and under budget. That is going to be one thing that is going to be very famously said throughout Washington over the next four years and hopefully eight years. Let's do things on time and under budget, and so, when you look at the numbers, those analysts will tell you that the numbers are staggering and we can reign those numbers in. And I believe he's going to work this thing out with the chairman of Boeing.

(INAUDIBLE)

Yes. We're going to get a great outcome. He's looking after the American worker. He's looking after the American taxpayer. How is that a bad thing? We don't know where the markets are -- Erin.

BURNETT: So, I want to talk to you about the markets. But you talk about Boeing, OK? And then there was Carrier and now there's SoftBank. Yesterday, you know, he went down in Trump Tower and the lobby, and he held up the picture and it was $50 billion of investments, 50,000 jobs in the United States. The President-Elect says that without him, this deal wouldn't have happen. How did the deal come to be, Anthony?

SCARAMUCCI: Well, listen, I wasn't involved directly in the day-to- day negotiations of the deal but this is how these deals go down philosophically for the President-Elect. He's basically now viewing himself as one of America's biggest spokespeople for the whole mantra of we're open for business. And so, when Masayoshi Son met with him, I guess he got the impression when the President -- President-Elect get every day is that we're open for business. What can we do to maximize your investment in the United States and how can I increase these jobs for working families in the middle class.

BURNETT: So, Donald Trump going to hold them accountable because this is right now very pie in the sky and sort of, you know, $50 billion. They don't even necessarily have it yet, 50,000 jobs. Is he going to hold them accountable for 50,000 jobs?

[19:10:07] SCARAMUCCI: I don't think he's going to need to hold them accountable.

BURNETT: Yes.

SCARAMUCCI: Because you know, Masayoshi Son for many, many years going back to your whole business carrier as a business journalist. I know him very well from my days back to Goldman Sachs. He is going to deliver on that. And so my guess is though, if he didn't deliver on that for some reason, could there be some possible soreness? Yes. But let's not go there.

BURNETT: Yes.

SCARAMUCCI: We've got a great opportunity to send a message to other people. America is open for business. Please come in with your capital, and let's put American workers back at work.

BURNETT: So, there is one thing that stood out to me about this though. And I'm curious as your take on it. SoftBank says a hundred billion dollars. They haven't raised all of that money they're working on it. Of the money they already have for sure the vast majority is from Saudi Arabia. Donald Trump repeatedly attacked Hillary Clinton over accepting money from Saudi Arabia because of its abysmal human rights record. Look, let me just play what he said first and give you a chance to respond. Go ahead.

(BEGIN VIDEO CLIP)

TRUMP: Saudi Arabia giving $25 million. Qatar. All of these countries. Why don't you give back the money that you have taken from certain countries that treat certain groups of people so horribly?

I think she should give back the 25 to $35 million she's taken from Saudi Arabia.

(CHEERS AND APPLAUSE)

And she should give it back fast.

(END VIDEO CLIP)

BURNETT: Sorry to say it's different. How is it different?

SCARAMUCCI: I think it is very different. On a number of different fronts. The first one is, is that we're going back into the campaign rhetoric now. So, I sort of want to stay away from that. Focus on the future. But it is very different because the foundation, there was a lot of inauspicious things that were going on in the foundation. The foundation is currently under FBI investigation. And so the money that went into the foundation is not really clear how it went in and what the linkage was, the consideration, the quid pro quo --

BURNETT: Right. But the point I was raising --

SCARAMUCCI: Let me finish though.

BURNETT: -- the human rights records of Saudi Arabia.

SCARAMUCCI: Yes. OK. Well, OK but it's human rights record of Saudi Arabia. She's out there with her platform that is diametrically opposed to that. Why this is different? Is that, as a business person, this is fundable capital that is going into the United States that is going to benefit the American worker. And what we know about the world is that there is a lot of gray in the world.

And what I can say is that, the new Secretary of State and the new vision for our foreign policy, we are certainly going to project the benevolent America that we all want us to be and we're going let people know in places like Saudi Arabia that women should drive cars and we're going to let people know that there should be a level of equality.

But he's a business person and he's practical and he's instinctive. And let's put that money to work for the American people. You know, we dropped eight million people, Erin, below the poverty line in the last eight years. We're turning to working class into the working poor, let's take the money and let's put it to work for the American people.

BURNETT: All right.

SCARAMUCCI: Different from the foundation.

BURNETT: And stay with me. Because next -- Anthony is staying with me. I'm going to be talking to a union president with Carrier who says that Trump, quote, "Lied his ass off about saving Carrier jobs." I'm going to give Anthony a chance to respond to him.

Plus, many analyst predicted Wall Street would plunge with Trump one. They got it terribly wrong. How? And file this into the old saying, politics makes strange bedfellows.

(BEGIN VIDEO CLIP)

TRUMP: We have a very good dialogue. And I must tell you, you know, I never met him before this. And I never spoke to him before this. I really -- I do like him.

(END VIDEO CLIP)

(COMMERCIAL BREAK)

[19:16:34] BURNETT: New tonight, the union president representing Carrier workers taking on the President-Elect Donald Trump. Chuck Jones slamming Trump for claiming he was able to get Carrier to save 1100 American jobs. He's saying that number is off. He is also saying, more than 500 jobs are still going to Mexico. I want to speak to Jones in just a moment.

But first, our senior political reporter Manu Raju is OUTFRONT on Capitol Hill. And Manu, Democrats are criticizing this deal. But you have been speaking to Republicans now who also aren't on board with the Carrier deal?

MANU RAJU, CNN SENIOR POLITICAL REPORTER: Yes. That is right. You know, Erin, everybody is happy that jobs are staying in the United States versus going to Mexico. But what Republicans are not happy about are some of the tactics that Donald Trump is using. Particularly picking winners and losers in this economy. There are some who are exercising, warning that Donald Trump should exercise some caution if he continues to use a similar tactic going forward. This is what Republican Senator Thom Tillis told me just a few moments ago. (BEGIN VIDEO CLIP)

(INAUDIBLE)

SEN. THOM TILLIS (R), NORTH CAROLINA: Yes. I think you have to be. Because, you know, what you don't want to do is -- what happens with that is uncertainty in business and economic recovery does not like uncertainty. So, we got to get to a point where we know it is a level playing field. But I think these are things that were important to him and I admire him for living up to his promise.

(END VIDEO CLIP)

RAJU: Now, Tillis is giving the President-Elect some credit also for living up to his promise as he said on the campaign trail. But Democrats are also raising a lot of concerns and doubts about this deal, especially in light of suggestions that Donald Trump may be overstating how successful this deal was. So, as Donald Trump could have touted, Erin, watch for Democrats to raise more and more questions about how successful it actually was.

BURNETT: All right. Thank you, Manu.

RAJU: Thank you.

BURNETT: And OUTFRONT now, Chuck Jones, he is the President of the United Steelworkers Local 1999. And Chuck, I really appreciate your time tonight. You know, Donald Trump has proudly, repeatedly talked about saving 1100 jobs in Indianapolis. Here he is.

(BEGIN VIDEO CLIP)

TRUMP: I will tell you that United Technologies and Carrier stepped it up. And now they are keeping -- actually the number is over 1100 people. Which is so great. Which is so great.

We're saving the jobs at the Carrier plant from going to Mexico. One thousand one hundred jobs.

(END VIDEO CLIP)

BURNETT: Chuck, is this true?

CHUCK JONES, PRESIDENT, UNITED STEELWORKERS 1999: No, ma'am. When Carrier announced the close down the whole facility in February, they announced at that point in time the research and development jobs, about 350 of them were going to remain here in Indianapolis. Then when Mr. Trump got involved what the actual in number of jobs saved is 730 bargain unit jobs, the workers, the union members. And another 70 office, supervisory clerical workers from management.

And what they are doing, they are counting in 350 some odd more than were never leaving this country at all. And I think he's did a lot of negotiations and I have likewise. And if you are dealing with people's livelihoods, you sure in the world ought to know what the numbers are. BURNETT: You know, Carrier obviously as you know had come out.

Right? They had their own statement. And they said they were retaining, just reporting here now Chuck. Retaining engineering and headquarter staff, preserving more than 1,000 jobs. The chairman of United Technology which of course owns Carrier, Gregory Hayes also mentioned 1100 jobs at that event with Trump. I mean, do you think the problem is actually with Carrier? They were giving him the wrong numbers?

JONES: Well, you know, if you want to add up the research and development jobs, it is 1100. But like I said earlier, those jobs never were leaving this country in anyway. So they are going to have 1100 jobs here in the city. But what nobody is mentioning is 550 people, excuse me, are losing their jobs.

BURNETT: So, I want to ask you about that. Because there is the issue here of how many jobs were saved and you are pointing out a discrepancy there. But the whole point with what Donald Trump is trying to do, as you know Chuck right, is to say, these jobs are not going to go to Mexico. He's going stop that. He's using Carrier as, you know, he is planting his flag. But you are now saying it's what, 550 jobs that are still going to Mexico even after Donald Trump's deal?

[19:21:04] JONES: That's correct. Five hundred and fifty jobs in the Indianapolis facility. And then there is a Huntington facility and 700 jobs are also going to Mexico from there.

BURNETT: Do you want Donald Trump to do something about it? I mean, when he hears this, maybe he doesn't know this. You know, he was really proud --

JONES: Well, he'll know it by now. Well, I want to say this, first of all, I appreciate Mr. Trump getting involved and saving as many people's livelihoods as he did. So I don't think that can go without being said. I just wish that he'd have had the numbers down and he'd have been up front with 800 people's jobs staying here in Indianapolis. Because we have a lot of our members when the word was coming out of 1100, they thought that they would have a job. And then they find out the next day after -- next Friday, that most likely they weren't. Five hundred and fifty were still going to lose their jobs.

BURNETT: So you are saying some of those 550 people, they really thought -- that number -- that misspeak that to some people doesn't seem like much, to them, it was, they thought they had a job. For a few days they truly thought they had a job.

JONES: Yes. Yes. You know, they went through a letdown period when the company announced the close down. And then so, they probably accepted the fact that at some point in time, they were going to lose their livelihood. And then, all of a sudden, this enters in and you hear better than 1100 jobs retained in Indianapolis. So, those folks probably had to think, okay, I'm keeping my job. Only to find out last Friday, well, no, there are 550 being laid off. Now, that never was mentioned by anybody. Trump, Pence or any of them never mentioned about 550 moving to Mexico.

BURNETT: All right. Well, Chuck Jones, I appreciate your time. And thank you so much for joining us and for laying this out to be -- I don't think a lot of people knew that there are still 550 jobs from that plant going to Mexico.

JONES: Thank you very much. We really appreciate letting us tell our side of the story.

BURNETT: And Anthony Scaramucci is back with me. You know, you heard what he had to say. And it was pretty poignant. You know that what seems like a misspeak. Whether it was Donald Trump or Carrier. There were people who thought that they had jobs. They thought they were going to get their jobs back and then they didn't and now there's 550 jobs still going to Mexico.

SCARAMUCCI: My dad was in a union. So, when I see Mr. Jones, my heart goes out to him. My heart goes out to the struggle that these families have in these situations. And so, what I would say to him is that there probably are 500 jobs going off. Accept him on his word on that. And there are thousands, if not, hundreds of thousands of jobs that have left 70,000 factories close since the origination of NAFTA. And we are here to try to fix it.

And what I admire about Mr. Jones, he's fighting for the American worker and he did acknowledge that Mr. Trump is going to be on his side helping the American work. So, Erin, listen, there is a big problem out there. OK. We're losing jobs in our manufacturing base and those families that are going to be out of work over the holidays, that is a very sad thing. That is more governmental dependency. That is a reduced tax revenue for the state and for the federal government.

BURNETT: Right.

SCARAMUCCI: And we've got to do a better job.

BURNETT: But what is Donald Trump going to do about it? Because I know his argument is, I'll do it with every company individually. I have no problem doing that. I will do it.

SCARAMUCCI: Yes.

BURNETT: And then the rest of them will come in line. But now basically Carrier, the first company out there. They kept some jobs. But they are still sending that very plant, 550 jobs to Mexico. Is he going to get involved with that?

SCARAMUCCI: He's not here so I'm going to have to speak for him.

BURNETT: Yes.

SCARAMUCCI: I think what Mr. Trump would say is listen, the obvious fact or, is that tens of thousands of jobs have left. Many more are going to be leaving. We jumped in there to try to stop this. You have to give -- my hat's off to Vice President Pence for helping him do that. And I have the empathy for the pain of that union leader because he doesn't want those people to lose their jobs. And so, what I'm here to say is, we're going to be out there in the administration helping those people. But there is a bigger point. Yes, will Mr. Trump make a five minute call to each of those companies and advocate to keep the jobs here?

BURNETT: Yes.

SCARAMUCCI: Sure. But we're going to lower the corporate tax base and reduce the regulation. And you and I are business people. We know that that is going to lead to better capita allocation in the country and to keep those jobs in the United States.

BURNETT: So, before we go, let me ask you. Trump had a lot of meetings today. You talked about Leo DiCaprio and donors.

SCARAMUCCI: Yes.

BURNETT: I've met with donors this morning. Joking to donors his career was over. What happened at that breakfast? You were there.

SCARAMUCCI: It was great. Listen, he's a very entertaining human being. He is a stage performer. As Elton John has said, he's the best stage performer Erin, in the world that can't sing or play a musical instrument. And he's got impeccable delivery. But he was just really recounting for us the roller coaster ride that he was feeling on Election Day. Because he was getting a lot of information about exit polling and that his intuition is like maybe the exit polling is wrong. And then Mrs. Trump was basically saying, I'm sure the exit polling is wrong.

And as the roller coastered into that 8:00, 9:00 and he was also teasing the anchors, you know, the breaking news, breaking news. Donald Trump wins -- breaking news. Donald Trump wins Pennsylvania. It was really, really funny. And I'll tell you something that the President --

[19:26:16] BURNETT: But there was a moment where he says, he thought it was over and his career was over.

SCARAMUCCI: Well, yes, that is something he did say and I have to admire this about him. He said, you know, I put it all out there on the field. He talked about giving six rallies in one day. One in Michigan at 1:00 in the morning. And he told Mrs. Trump and he said this in front of about a thousand people. He says, you know, I left it all on the field. I'm at peace with myself if I don't win because I tried my hardest. Do you know what I love about the interaction in the speech is that he is relaxing. I see it in the meetings. He's super confident about the job. He's super determined and he's coming to work every single day thinking, okay, is this in the best interest of the American people.

Not the people who voted for me. Not the people in my little group. It could be the pro-Hillary people, to the Never Trumper people, to the maybe Trumper people, Erin. And to the I should have been Trumper people and of course the Trumper people. And so what I would say is that, this is been a remarkable experience for me to be this close to history and watch who I think is going to be a phenomenal president, help that union leader bring more jobs back and create wage growth in the society. We desperately need it.

BURNETT: OK. All right. Anthony Scaramucci. Thank you very much as we said on the executive committee for the Trump transition.

Next, more details on what Donald Trump said to donors. You heard Anthony giving him some details. He was in the room.

And Donald Trump on the man he once called a disaster and the worst president in American history.

(BEGIN VIDEO CLIP)

TRUMP: We have a really good chemistry together. We talk. I really like him as a person.

(END VIDEO CLIP)

(COMMERCIAL BREAK)

[19:31:41] BURNETT: Tonight, Donald Trump praising President Obama. Trump revealing he's turned his frequent critic for advice regularly. Including his cabinet picks, saying he loves getting his ideas.

(BEGIN AUDIO CLIP)

TRUMP: I take his recommendations very seriously and there are some people that I will be appointing and in one case have appointed, where he thought very highly of that person.

(END AUDIO CLIP)

BURNETT: Is this a new -- well, of course, if this is true and it is true, it is a new chapter. It is a completely new chapter. To some, it would be an alternate universe, but it is really happening.

Michelle Kosinski is OUTFRONT.

(BEGIN VIDEOTAPE)

TRUMP: Thank you.

MICHELLE KOSINSKI, CNN WHITE HOUSE CORRESPODENT (voice-over): Erase if you will or can for a moment all the nastiness of the campaign trail.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: Come on, man!

TRUMP: We are led by stupid people. OK? We're led by stupid people.

OBAMA: Donald Trump is uniquely unqualified to be our chief executive, temperamentally unfit to be commander in chief.

KOSINSKI: And now, listen to Donald Trump today calling into the morning television. TRUMP: We have a very good dialogue. And I must tell you, you know I

never met him before this. And I never spoke to him before this. I really -- I do like him. I love getting his ideas.

KOSINSKI: Since the election, the president and president-elect have had --

JOSH EARNEST, WHITE HOUSE PRESS SECRETARY: At least a handful of conversations.

KOSINSKI: Is as specific as the White House will get.

So, is the feeling mutual?

EARNEST: This would probably make for an interesting episode of "Dr. Phil."

KOSINSKI (on camera): Does the president enjoy these phone calls?

EARNEST: The president is pleased that he can play a role in ensuring a smooth and effective transition. President Obama was not just a willing participant in those kind of conversations. But rather, he would welcome the opportunity to be as helpful as he possibly could to the incoming president.

KOSINSKI (voice-over): The White House wouldn't weigh in on whether they have a good rapport now, instead reiterating that the deep concerns expressed before the election about a Trump administration have not gone away.

Much of what Donald Trump talked about today regarding the several lengthy phone calls for advice he's had with President Obama focused on his choices for cabinet and White House positions.

TRUMP: I would say that yes, I take his recommendations very seriously. And there are some people that I will be appointing. And in one case have appointed, where he thought very highly of that person.

KOSINSKI: No word on who that might have been. The White House Press Secretary Josh Earnest did complement General James Mattis, Trump's pick for defense secretary. But then made a point the set up a contrast, a challenge between Donald Trump's choices and the people President Obama surrounded himself with.

Naming Obama's secretaries of health and human services, defense, and V.A. as those he said served the American people well.

EARNEST: The kinds of people President-elect Trump has chosen appear to have in many cases different priorities, different styles, and in some cases, starkly different bank accounts. But it's an experiment the American people in all their wisdom have chosen to conduct.

(END VIDEOTAPE)

KOSINSKI: So what you hear in all of that is the White House not wanting to directly criticize or get too specific, but still including criticisms and concerns within their responses.

[19:35:04] Now, what you definitely don't hear is the White House paying any complements to Donald Trump and his team -- at least not yet, Erin.

BURNETT: All right. Michelle, thank you very much.

OUTFRONT now, executive editor of CNN politics, Mark Preston, David Gergen, former advisor to four presidents, CNN political commentator Kayleigh McEnany, and Democratic strategist Maria Cardona.

Mark, this is really happening and it's been happening for two weeks, in small meetings now. On television, Donald Trump is talking about how much he likes Barack Obama. He means it. Now, it's not just that he likes him h. He's asking him for advice on cabinet picks.

This is truly happening.

MARK PRESTON, CNN POLITICS EXECUTIVE EDITOR: Right. They are besties now.

(LAUGHTER)

PRESTON: I mean, you just go back, what, six months and Barack Obama -- or seven months, you know, potentially wasn't even a citizen in the United States or qualified to hold the office. You know, going back over that time over all those years, I truly don't believe Donald Trump ever thought Barack Obama wasn't born in the United States but, you know, did it because it helped him politically and it drew a lot of attention.

But, you know, I do think both men get credit because Donald Trump is reaching out to somebody that understanding what the situation is right now. Has just gone through eight years and Barack Obama is embracing it. That is a small club of people who have actually served in that office.

I mean, David has been with four of them. So, I mean, he could tell you that. So, I think we should the fact. The next move is when will he call Bill Clinton because we know Bill Clinton likes to talk?

BURNETT: President Obama might be the easiest one for him to mend fences with when you look at his relationships with some of the others.

But in all seriousness, David, who needs who more here? I mean, clearly, Donald Trump needs Barack Obama? He needs his help. It benefits him to be with Barack Obama, but Barack Obama also needs Donald Trump.

DAVID GERGEN, CNN SENIOR POLITICAL ANALYST: Sure.

BURNETT: He needs him.

GERGEN: I don't think one needs more than the other. Barack Obama's legacy, and a special on that tonight here on CNN, his legacy to considerable extent rests with Donald Trump. You know, what happens to the Affordable Care Act and what happens to the Iranian agreement. Those are big deals. And if he unwinds a lot of that, Obama's legacy should be quite different.

But let me just say, I think, you know, amidst of all the times we criticized, I think he's doing the right thing and I'm glad he's listening to President Obama.

BURNETT: Yes.

GERGEN: Jack Kennedy, you know, when he came in. He had a fierce campaign against the Eisenhower administration. But Eisenhower turned out to be would have been his best mentors early in the presidency. Really important after the Cuban missile crisis and everything -- I mean, the Bay of Pigs.

But similarly, Bill Clinton told me once that the best advice he ever got on Russia came from all places, Richard Nixon.

BURNETT: Interesting. So, it is important to go to that. They say, there's so few people who have held that office.

Today, Maria, Donald Trump was named "TIME" Magazine Person of Year. Stunning, of course, right? There's no one else they could have named. But the sub-headline was, quote, "president of the divided states of America."

Trump asked about that today, categorically disagreed. Here he is.

(BEGIN VIDEO CLIP)

TRUMP: When you say divided states of America, I didn't divide them. They are divided now. There is a lot of division.

I think putting divided is snarky. But again, it's divided. I'm not president yet. So, I didn't do anything to divide.

(END VIDEO CLIP)

MARIA CARDONA, CNN POLITICAL COMMENTATOR: Not surprising that that is something that he would say. He has yet to take responsibility for the kind of rhetoric that he used from the moment that he announced his presidential campaign. I have said this nonstop on the show. When he came out and called Mexican immigrants rapists and criminals and drug dealers, and then went on to talk about banning Muslims then went on to insult Judge Curiel, Mexican-American judge.

He did so much to divide this country and he's yet to take responsibility for the kind of divisions and hateful -- and it is not just rhetoric. "The New York Times" started a weekly column called "The Week in Hate" to track hate crimes that have risen specifically because of the Donald Trump campaign and now specifically because he's president-elect. And the things that are going on around the country are just jaw-dropping, swastikas showing up in schools and in churches. And Latino kids being made fun of and chanting "build the wall, we are going to deport you." That is deplorable and I think the president-elect has a challenge, but I think also an opportunity to actually step up to plate and admit and try to unite us.

KAYLEIGH MCENANY, CNN POLITICAL COMMENTATOR: We tend to ignore all the violence that's gone on towards Trump supporters. The homeless woman who was beaten up. The man who I watched being drive out of his car.

CARDONA: That's awful.

MCENANY: Lots of violence against Trump supporters.

And do you know why that is? We have a culture of division started long before Donald Trump. And I put the origin with President Obama. When Ferguson happens, when he took to that podium and when he divided us further, not recognizing that most police officers are good. Not recognizing that most American citizens are good. He divided us.

And he's laid the fault lines of the division all throughout his presidency, and they've been laid further by left and left-wing commentators who oversimplified Trump statement who say he called all Mexicans rapists, which he did not do. He said, when Mexico sends people, he didn't call for total ban on Muslims, he called for a temporary one.

[19:40:01] When we eliminate nuance, we infuriate and scare a lot of groups. And I think it's irresponsible and the divisions are here because of the left.

BURNETT: But, Kayleigh, I will say, he did say most, because he said, some are good people, right? So, the implication is most Mexicans are rapist in that particular proposing a ban whether temporary or not of Muslims, how are those things not divisive?

MCENANY: He said when Mexico sends people. Much like when Cuba sent people during the Mariel boatlift, that's a small contingent of people that he was talking. It was not a barrage --

(CROSSTALK)

That's way it's been interpreted by the left.

CARDONA: And then when he talked about deporting the 11 million undocumented immigrants, again. Divisiveness and he has never done anything to take responsibility for it and so say, look, either I didn't mean those or let's get together to try to fix this --

(CROSSTALK)

CARDONA: To enforce the law. Change the Immigration and Nationality Act?

GERGEN: You don't think he's been divisive at all?

CARDONA: Not in the slightest.

GERGEN: You don't? We're in the twilight zone here. MCENANY: No, we are creating a division in this country when you say, what is law? The Immigration and Nationality Act is law, and you treat it as hate to say he wants to enforce the laws on the books. If you think that's hateful, take it up with Congress and change the law.

CARDONA: When he first premised that by calling Mexican immigrants rapist and the criminals --

MCENANY: He didn't do that. I just explained how he didn't do that.

CARDONA: Yes, he did. He said those words the day that he announced his campaign. And --

MCENANY: You eliminated nuance for a political purpose and that is very sad.

CARDONA: That is -- then why is there such a huge percentage rise in hate crimes specifically since Donald Trump pronounced his campaign for president. It is not a coincidence.

MCENANY: No, it's not true. Because we have violence in this country that has nothing do with Donald Trump. If anything has do with the last eight years under this president.

CARDONA: White supremacists call him guy. That's not a coincidence.

GERGEN: I just don't know why we're arguing about this.

Of course, all the blame doesn't belong to Donald Trump. Of course things went back earlier. But to say he hasn't contributed to the divisions in the country I think is sort of like turning a blind eye and ideological eye somewhere else. I don't understand how you can possibly believe that.

MCENANY: I think who's contributed more to the division are the people who have tried to paint Donald Trump as a racist, as a xenophobe.

GERGEN: That's not the question.

MCENANY: Hillary Clinton devoted endless speeches to that purpose. Hillary Clinton and the left and the oversimplication of his words is what have divided this country. Not Donald Trump.

BURNETT: All right. We're going to take a pause.

Tonight on CNN, as David mentioned briefly, it will be Fareed Zakaria talking with President Obama about his time in the White House, his legacy. "The Legacy of the Barack Obama", that is here on CNN at 9:00 tonight.

And next, what was Obama's former chief of staff doing at Trump Tower today?

And the stock market soaring in the wake of the Trump's election, all time highs, thousand plus point surge. Does Donald Trump get all the credit?

(COMMERCIAL BREAK)

[19:46:28] BURNETT: New tonight an unexpected sight. President Obama's former chief of staff and Chicago Mayor Rahm Emanuel meeting with Donald Trump on immigration. This as a surge of immigrants rushed to file for citizenship now that Donald Trump will be president.

Kyung Lah is OUTFRONT in Los Angeles.

And, Kyung, why are people with legal status are so concerned?

KYUNG LAH, CNN CORRESPONDENT: Well, Erin, because of the strong rhetoric regarding immigration that Trump has used during the campaign trail because he's proven to be unpredictable, because he has been so off the cuff. All of this has led to uncertainty, even for those who are here legally.

(BEGIN VIDEOTAPE)

NATALIA PEREZ, U.S. RESIDENT: I don't think he's consistent enough for anybody to truly trust him.

LAH: So this is your insurance policy.

PEREZ: Yes, exactly. That would be an excellent way to put it. This is my insurance policy.

LAH (voice-over): Natalia Perez's insurance against Donald Trump and the White House.

PEREZ: Wednesday after the elections, I downloaded the forms.

LAH: The forms to officially become an American. For the first time, this legal resident is officially filing for citizenship because of one reason.

PEREZ: I've been so nervous and frightened.

LAH: Perez came to the United States from Mexico in 2002 on a student visa, earned a PhD at Princeton University and is now assistant professor of Renaissance Theater at the University of Southern Christian.

A lawful resident and taxpayer, married to an American, a mother of young child. None of that matters, she believes, in Trump's America.

PEREZ: I mean, we're a Mexican Jewish family. I have a half Mexican, half Jewish American daughter. I really would like to have all of our bases covered.

SAM STEINBERG, NATALIA PEREZ'S HUSBAND: I would be silly to be not to be afraid I think. It is irresponsible not to be afraid of what he's able do or what he might do. One, we're doing so is to look for the protection of the citizenship. PEREZ: Legal U.S. citizens across the country are acting on that

fear. Government figures show a 25 percent increase from the year before in citizenship applications prior to the election. While the government doesn't have up-to-date data since November 8, immigration lawyers say requests are flooding their offices.

EMILY ROBINSON, LOYOLA IMMIGRANT JUSTICE CLINIC: It has tripled, the demand for our services and that is only the people we're able to answer the phone calls for and people we're able to meet with.

LAH (on camera): And there are people you can't?

ROBINSON: There are people we can't meet with. The demand for our services is absolutely endless.

LAH (voice-over): To get here.

MARIA IVETTE DIAZ, NEW U.S. CITIZEN: Right now, it is just a relief for me.

LAH: Maria Ivette Diaz is a new U.S. citizen, swearing in with 100 others in Chicago at this naturalization ceremony.

DIAZ: I just feel safe now.

LAH: A sense of safety, Natalia Perez seeks, taking her application photos, and sending in her form, this college professor hopes it also legitimizes her as an American. Sadly, she fears among many in this country, it won't.

PEREZ: That I'm a Mexican. That I am a woman. I am immigrant and that's all I'll be there, that there are people who will not look past that.

(END VIDEOTAPE)

LAH: Now, Trump has said that he welcomes immigrants who are here legally, the ones who play by the rules, but those immigrants say he has been so unpredictable that they don't trust him and it's hard to tell what he will and won't do -- Erin.

BURNETT: All right. Kyung Lah, thank you very much.

And breaking news right now. The President-elect Donald Trump just moments after our interview right here on OUTFRONT with Carrier union president Chuck Jones just tweeted, let me read the tweet from Donald Trump, "Chuck Jones, who's president of the United Steelworkers 1999, has done a terrible job representing the workers. No wonder companies flee the country!"

Richard Quest, our international business correspondent, is OUTFRONT.

Look, you're actually here because we're going to talk about the fact that the markets have gone 1,000 percent since Trump won. Now, this just happened. I want to talk about this now for a moment. Chuck Jones just came on and talked about how he was so upset because

a lot of his workers thought their jobs were going to be save and they weren't, because the numbers didn't audit up. But he thanked Mr. Trump for the jobs that he has saved so far and Trump moments later also said this tweet.

RICHARD QUEST, CNN BUSINESS CORRESPONDENT: Right. But Chuck Jones also was rude about Donald Trump in the way he said he was lied to.

BURNETT: Not tonight.

QUEST: That's right.

BURNETT: But he had said, right, he had said before.

QUEST: Yes.

BURNETT: That Trump lied his ass off. He used the quote. So that is true.

QUEST: And what you are seeing now is exactly what -- we shouldn't surprised. We were told this was going to happen. We were told the president-elect has a very thin skin when it comes to personal criticism.

And what Chuck Jones did was basically call the president-elect out on this. You know, the emperor's new clothes. This is what this is about, Erin. The emperor's new clothes.

The numbers that the president elect said are not the true numbers. Jobs have been saved. No question about it. No doubt. There are happy people this holiday season. But --

BURNETT: By the way, which point, Chuck Jones made on this program.

QUEST: Right. There is no merit and value to this tweet to attack a union leader who just for disagreeing. Because where does it end? Everybody time somebody does something you don't like, does he pick up and tweet? That's the worrying part about?

BURNETT: And you know what? He was asked about his use of Twitter. I believe I --

QUEST: Yes.

BURNETT: I'm sorry, I'm just looking for it right now, because we're going to talk about it a moment ago. But he was asked about his use of Twitter earlier today in an interview with Matt Lauer. And he said, let me quote Donald Trump here because I don't know if we had the sound byte cut right now, "But I think I am very restrained and I talk about important things. That's a modern day form of communication. I get it out much more faster than a press release."

That is what he said in an interview this morning with Matt Lauer, talking about Twitter and now we see, you know, how is he seeing it? QUEST: Right. And you and I have talked about this before. It is

either strategy or naivety and foolishness. There is not a lot of middle ground between these two.

If it is strategy, it is not immediately clear how attacking Chuck Jones tonight after your interview helps him. You rise above it. You move on. He's a union leader and the president elect of the United States.

If it is naive or it's foolishness, then Lord knows where it all ends up in the days and weeks ahead. It means every time somebody criticizes, you are going to -- and what eventually, of course, will happen is it will devalue the currency. Eventually if you tweet this stuff off often, people simply ignore it. They simply say, oh there he goes again.

BURNETT: We're going to have Chuck Jones in a moment coming back on to respond. What is it? We have him?

OK. Sorry. Mr. Jones, can you hear me?

Mr. Jones, can you hear me?

JONES (via telephone): I can hear you.

BURNETT: All right. Chuck Jones, I just want to make sure everyone knows. You were on the program earlier. President of the United Steelworkers 1999 with Carrier in Indianapolis.

I don't know if you know, but after you were on the program a few minutes ago, Donald Trump tweeted about you. He said, let me read it again, "Chuck Jones who is president of United Steelworkers 1999 has done a terrible job representing workers. No wonder companies flee country!"

What do you say, Chuck, when you hear that?

JONES: First of all, that wasn't very damn nice. But with Donald Trump saying that, that must mean I'm doing a good job, because these people are making a decent wage at Carrier. And I feel like I'm somewhat involved in making that happen, where he does everything he can to keep unions out of his hotels and casinos here in this country, depriving them of making a living wage.

So, I don't put a whole hell of a lot of faith in whatever he says. I just don't pay a lot of attention to him.

BURNETT: Now, do you still standby what you told me earlier, which is, you had your frustrations. You thought he should have had the numbers right but you were still grateful and you made it clear that you were grateful to Donald Trump --

JONES: Yes.

BURNETT: -- for what he had done in saving the jobs that he did save, the nearly 800 jobs from Carrier. Do you still stand by that? Do you still feel gratitude towards Donald Trump --

JONES: I stand by that 100 percent. Instead of addressing that and saying, hey, I got that wrong and, you know, Jones was right on his numbers, then he wants to attack me. I think that is pretty low down, low life.

And, you know, does it bother me? No hell no. I'm going to still be able to sleep tonight and life will go on tomorrow for me.

BURNETT: So, why do you think he sent this tweet out? As he said, you appeared on this program and just a few days later, he sent this out. Why do you think he did it?

[19:55:01] JONES: He likes to feel like whatever he says is correct and he don't like to be challenged. And what I was challenging him and he wasn't listening to the part where, you know, I thanked him for saving 800 jobs. Only part he paid a hell of a lot of attention to is where I think he did wrong by promising 1,100 some-odd jobs would remain in Indianapolis and he saved them, and it is a falsehood and I think he got caught in a deal where he would need to bail out, so, which his way of doing it, attacking me.

BURNETT: Now, what happens from here? You know, I had asked his transition -- economic transition, one of his economic transition chiefs appeared after your interview, and asked him what Donald Trump would do about the 550 jobs from Carrier that were still going to Mexico. He said he didn't challenge you on those numbers. He trusted you on those numbers, but it's unclear whether Donald Trump is going to do anything more about that or not at this time.

What's your response to that?

JONES: Well, you know, I surely hope he would make an attempt to try to see what he could with the 550 jobs remaining here and keep them in this country and we can go from there.

But, you know, attacking me, I didn't answer (ph). I didn't attack him. I just called him out on where I felt like that he misled the people. And if you don't like it, it's tough, as far as my concern.

BURNETT: Now, we were talking, Chuck. I'm here with Richard Quest and we were talking a moment ago how Trump, you know, he saw your interview. He perhaps had also seen a quote from you in a newspaper when you had talked about him in less diplomatic terms than you did with me. You said, quoting -- the quote you gave was, "Donald Trump lied his ass off about those jobs." As I said, different words than you use with me.

But do you think those words would in any way merit him choosing to go on Twitter and attack you personally?

JONES: If I thought it upset him without a doubt. But I was stating what I felt like he did. He got up there and, you know, talked about 1,100 jobs remaining here in Indianapolis, which is a falsehood. He got up and denied ever stating anything that he promised to keep these Carrier jobs in this country, which was a falsehood. So, you know, I was just calling him out on some of the things that he

was less than honest with. And evidently, he didn't like it.

BURNETT: So, will it be possible for you to work with Donald Trump at this point? I mean, in that negotiation that happened with those jobs, jobs for your union, did your union have anything do with the Trump administration at all in that negotiation?

JONES: No.

BURNETT: Or was that done by Carrier and United Technologies?

JONES: That was United Technologies and Mr. Trump. But no, I wouldn't have any problem at all working with him or anybody else in order to try to keep jobs in this country. You know, all of us are going to disagree with on certain things at certain times. But if, in fact, he decided he wanted to include me or us in a process of keeping 550 remaining jobs, I would definitely work with the man.

BURNETT: All right. Well, Chuck Jones, I appreciate your time. Thank you very much.

JONES: Well, I sure appreciate you giving me opportunity to explain my side of it.

BURNETT: All right. Thank you.

Chuck Jones joining us again, his response.

Richard, what do you make of this? I mean, I will say, even what he said and he had some pretty unpleasant words to say about Donald Trump as well. The bottom line is, still willing to work with him.

QUEST: Absolutely.

BURNETT: Everyone though Donald Trump just said this.

QUEST: Because Donald Trump's agenda is still his agenda, which is to save American jobs and to bring American jobs back. And that shows I think huge magnetism of Chuck Jones and the union workers in this respect.

BURNETT: Magnanimous.

QUEST: Absolutely.

BURNETT: OK, still work together.

QUEST: Absolutely, because the agenda is the same thing.

I think he's a bit shell -- not shell shocked. I think he's been bemused by the fact that the president should choose -- or president elect should choose to retaliate. And that is what this is. That's the word. This is a retaliation.

BURNETT: It is. This is something that would not have happened with any other president, certainly not President Obama. But this is the way Donald Trump is.

QUEST: Get used to it. There is more of it to come.

BURNET: Well, and then -- and let me just end this on the question for you of market rally, which Trump takes credit for. By the way, he should take credit for.

QUEST: Completely. It's a Trump rally.

BURNETT: Some out there is skeptical. They say this very issue. The jobs issue. The anti-globalization message that this rally will end.

QUEST: No. I will leave it at t that. It is not going to. It's got legs.

BURNETT: This got legs. It's real.

QUEST: It's got legs because there is stimulus. There's fiscal stimulus. There's still monetary stimulus in (INAUDIBLE). Every government policy is going to begin towards growth. This has got legs because company earnings are going to rise.

BURNETT: All right. Richard Quest, thank you very much.

And thanks to all of you for watching, as that story literally developed on this program this hour.

Thanks for joining us. We'll see you back here tomorrow.

"AC360" with Anderson starts right now.