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EARLY START

New York Prison Employee Pleads Guilty; Trump Stands By Top Adviser; Clinton Ducks Keystone Question; Emergency NATO Meeting On Turkey; Stocks Up Around The World; New Planned Parenthood Video Released; Accused Poacher Speaks Out. Aired 5:30-6a ET

Aired July 29, 2015 - 05:30   ET

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


[05:30:00] JOHN BERMAN, CNN ANCHOR: Welcome back to EARLY START, everyone. I'm John Berman. It's about 30 minutes past the hour. Christine Romans is off this morning.

Happening now, the search for two Florida 14-year-olds missing at sea is entering its sixth day. Search and rescue ships and planes have expanded the search area further.

It is now over 41,000 square miles. That's the size of Ohio. At this point, no sign of Perry Cohen and Austin Stephenos, but the mother tells CNN she is holding out hope.

(BEGIN VIDEO CLIP)

PAMELA COHEN, MOTHER OF TEEN MISSING AT SEA (via telephone): We know our boys. We know the determination and the courage that they have. We know the skills that they have. We know how athletically fit and able they are. Both of our boys learned how to swim before they learned how to walk, so we just feel very, very confident that they will be able to stick through this. They know that we are coming for them and we will get them.

(END VIDEO CLIP)

BERMAN: CNN's Martin Savidge is in Florida with the latest.

MARTIN SAVIDGE, CNN CORRESPONDENT: Good morning, John. The Coast Guard has just completed now its fifth night of searching for these two missing Florida teens and the search area goes all the way up to the coast of South Carolina.

The question now becomes how long is this search going to actually continue on? The coast guard admits they are at that point of discussing about possibly bringing it to a close. They haven't admitted it yet, but they are talking about it.

Maybe because what they have always said is that a person could last four to five days in the water given the conditions and we are at that point. The thing is the Coast Guard doesn't know when the boys ended up in the water.

Their boat was found Sunday. So that is why the definitive line is a little bit fuzzy here, but they admit that the time is running out. Meanwhile, the family is trying to, as best they can, to prepare for that moment.

In fact, they have a "Go Fund Me" account that has raised over a hundred thousand dollars, which will be used to fund their own private search. It's one thing to be ready to carry on the search.

It's another thing to be ready to carry that emotional burden when an official comes to you and says there is no more hope -- John.

BERMAN: All right, Martin Savidge, thanks so much.

New details this morning in the New York State prison breakout. The woman who helped Richard Matt and David Sweat escape plead guilty to charges that could bring her up to seven years in prison.

The 51-year-old prison tailor, Joyce Mitchell, accepted a plea deal that lets her avoid the most serious potential charge involvement in a conspiracy to kill her husband.

Joyce Mitchell's lawyer denies she was involved in a plot to kill Lyle Mitchell and Lyle Mitchell is standing by his wife and throwing some harsh words at the media.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: Are you standing by her?

LYLE MITCHELL, HUSBAND OF PRISON EMPLOYEE JOYCE MITCHELL: One hundred percent.

UNIDENTIFIED FEMALE: Why?

MITCHELL: Because I love her. You guys are printing lies.

UNIDENTIFIED FEMALE: What kind of lies?

MITCHELL: I have nothing to say to you.

UNIDENTIFIED FEMALE: What kind of lies do you think we printed? Do you think the plea was a good idea?

(END VIDEO CLIP)

BERMAN: CNN's Alexandra Field now with the very latest.

ALEXANDRA FIELD, CNN CORRESPONDENT: John, Joyce Mitchell was tearful in the courtroom as she accepted responsibility for her role in the escape, pleading guilty to two different counts.

At the same time, we are learning new details from her confession to police. She has admitted to putting hacksaw blades into the hamburger meat, which was passed to the inmates.

But days after the escape, she told investigators she was aware the two men were plotting to break out for three or four weeks before they managed to pull off that escape. She also went into graphic detail about her relationships with both of the men, saying that she would write sexual letters to David Sweat and take naked pictures of herself.

She says there was no sexual contact with Sweat but that Matt, one day, kissed her, taking her by surprise, and other sexual encounters followed.

She says Matt was the one who plotted to kill her husband, Lyle. She was asked to drive the get-away car after the men broke out of the prison and she was told by them to bring a hatchet, a shotgun, and other provisions.

Apparently, the two inmates told Joyce that they would all drive six or seven hours into the woods somewhere and hunker down for a week and then Richard Matt would split off and Joyce Mitchell and David Sweat would be left together.

But Mitchell told police she couldn't follow through with the plan ultimately because she loved her husband too much. Lyle Mitchell was in the courtroom as Joyce accepted that plea deal.

This plea deal protects her from having the district attorney pursue additional charges against her based on those sexual allegations and also the conspiracy to murder her husband. Joyce will be formally sentenced in September -- John.

BERMAN: Alexandra, thanks so much.

Donald Trump is standing by his man, even while creating distance between himself and one of his closest aides, that special counsel, Michael Cohen.

Cohen triggered an uproar when he told a "Daily Beast" reporter you cannot rape your spouse, which is simply untrue. Cohen was fielding a question about a rape claim launched against Trump by his ex-wife, Havana, in the 1990s when the couple was divorcing.

Cohen has since apologized for the remark and Trump tells CNN's Don Lemon, the matter is closed.

(BEGIN VIDEOTAPE)

DON LEMON, CNN ANCHOR: Do you still standby Michael Cohen?

[05:35:01] DONALD TRUMP (R), PRESIDENTIAL CANDIDATE (via telephone): No. You have to understand, Michael was extremely angry because he knew it never took place. He knew this web site was a joke, considered a joke.

He was very angry and maybe he didn't even understand the question but, no, I don't. I disagreed with him. In fact, when I read it, I disagreed. I didn't know if they said it. Who knows what he said because, frankly, I'm not sure they reported accurately, but assuming he said it, no, I disagree with that.

LEMON: I mean, you're not going to fire him or get rid of him?

TRUMP: No, I'm not. He was very angry because they issued a false story to get publicity for themselves and to try and make themselves relevant, which they are not. People have been fired all over the place from that one.

And others are failing too as you know in that world, a lot of them are failing, but this one is a particularly bad one. A lot of money was spent on it and it's been a disaster, and he knew that and he said to them, you know, you're doing the wrong thing.

You do this. You're doing the wrong thing. So what happened is he probably got angry. No, I disagree with him. In fact, when I first saw it, I said, wow, you know, it's something I disagree with, but that's the way it is. You know, he is speaking for himself. He is not speaking for me, obviously.

(END VIDEOTAPE)

BERMAN: Cohen says his comments were inarticulate and admits the reporter's questions sent him into a tailspin.

A tight spot for Hillary Clinton this morning, she is refusing to take a position on the Keystone oil pipeline. The Democratic frontrunner has never publicly stated whether she favors or opposes construction of the 1,200-mile pipeline stretching from Canada to the gulf. She avoided the question again when a voter in New Hampshire asked her about it and later she explained why.

(BEGIN VIDEO CLIP)

HILLARY CLINTON (D), PRESIDENTIAL CANDIDATE: I was the secretary of state who started that process. I was the one who put into place the investigation. I have now passed it off as obvious because I'm no longer there to Secretary Kerry. This is President Obama's decision and I am not going to second-guess him.

(END VIDEO CLIP)

BERMAN: Democratic rival Bernie Sanders told reporters it is hard to understand how Clinton can be so concerned about climate change, but not oppose the Keystone pipeline. Sanders is against it.

Secretary of State John Kerry and other top administration official will be back on Capitol Hill for a hearing this morning trying to convince lawmakers to support the nuclear deal with Iran.

On Tuesday, Kerry warned a House committee that if the U.S. walks away from the agreement, it will accelerate Iran's path to a nuclear weapon. The White House has won over a key Democrat, Michigan's Sandro Levin, the longest serving Jewish member of Congress and a staunched supporter of Israel announced he does support the Iran deal.

This morning, an emergency NATO meeting called by Turkey has ended with a broad statement against terrorism. Turkey sought the meeting saying it faced increasingly security threats along its border from ISIS and also other terror groups.

Senior international correspondent, Arwa Damon joins us now live from Istanbul. Good morning, Arwa.

ARWA DAMON, CNN SENIOR INTERNATIONAL CORRESPONDENT: Good morning. What Turkey really wants to do is establish not a security zone or a no-fly zone, but at this stage really settling for an ISIS free zone when it comes to the particular threat that is being posed by that terrorist organization.

Turkey also for the first time launching airstrikes against ISIS in Syria, but it is not stopping there. Turkey has also taken on the Kurdistan worker's party, PKK, that it considers to be a terrorist organization going after their hideouts in Northern Iraq.

But also over the last 24 hours or so, launching strikes against them within Turkey's own borders as well. One of the key aims of this emergency NATO meeting was to present NATO allies with Turkey's plan moving forward.

But also to ensure that it has the support, the capital to continue fighting this multi-pronged war against terror. Turkey is finding itself fairly vulnerable at this stage.

Not just from potential retaliatory attacks that have been carried out by the PKK against Turkish security targets, but also potentially retaliatory attacks that could be carried out by ISIS against the civilian population.

In fact, unsubstantiated reports that ISIS might be intending to target the Istanbul metro, for example, have already caused some people not to decide to take it.

But moving forward, Turkey also alluding to the fact that it may, at some point in time, be requesting additional military support from NATO. All of this unfolding as Turkey has finally agreed to open its bases and air space to U.S. aircraft.

Turkey actively now taking part in the anti-ISIS coalition, fully aware that its previous position of trying to sit out active warfare on the sidelines when it's so close to its own borders, that strategy simply not working -- John.

BERMAN: The use of air space in those Turkish bases will be helpful and perhaps not decisive, but certainly helpful for the U.S. in the battle against ISIS. Thank you, Arwa in Istanbul.

Let's get an EARLY START right now on your money. Alison Kosik is here with that. Good morning, Alison.

ALISON KOSIK, CNN BUSINESS CORRESPONDENT: Good morning. Seeing lots of green arrows this morning so a pretty good start for the day so far. Asian shares are rallying, though, we are still seeing a lot of volatility in China stocks.

[05:40:05] Shanghai's benchmark index is actually up 3.5 percent today. European shares and U.S. stock futures are mostly higher as well, but a lot to change that.

We will be hearing from the Federal Reserve today as investors look for any clues about a looming interest rate hike. A lot of companies also opening their books today as earnings season rolls on including Facebook, which is reporting after the bell.

Health care spending is soaring, spending in the U.S. hit $3.1 trillion last year or almost $10,000 per person. That is an increase of 5.5 percent.

What is going on here is that more than 8 million Americans have gotten insurance through Obamacare. Health care spending is expected to keep growing rapidly in the coming years because of improving the economy, the aging population as well.

One litter factor that I found interesting to come out of this study is that actually these numbers that we are talking about, the spending figures would have been higher were for it not the fact that people are actually visiting the doctor less because they don't want to spend more money because they are spending a bigger share of their own money to pay for those (inaudible).

BERMAN: Interesting. Well, you know, the field is changing after Obamacare that's for sure. Thanks, Alison.

Lawmakers moving forward with a plan to defund Planned Parenthood after a third undercover video is released by activists. We will have the details next.

(COMMERCIAL BREAK)

BERMAN: New controversy for Planned Parenthood, an anti-abortion group released a new undercover video that shows an official talking about pricing for aborted fetal tissue.

[05:45:03] This comes as Republicans in the Senate move forward with plans to vote on a bill aimed at restricting federal funding for Planned Parenthood. CNN's Chris Frates with more now on this video.

CHRIS FRATES, CNN CORRESPONDENT: Good morning, John. The latest graphic and highly edited video from the activist group, The Center For Medical Progress, features an interview with a woman, who used to work for a company that bought fetal tissues from Planned Parenthood.

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE: The harder and the more valuable tissue, the more money you get. So if you can somehow procure a brain or a heart, you're going to get more money than just, like, villi or the umbilical cord.

FRATES (voice-over): The video also includes a Planned Parenthood official discussing per organ pricing.

UNIDENTIFIED FEMALE: Do you think that per item thing works a little better because of how much you can get out of it? FRATES: Planned Parenthood says they don't use federal funds for abortions or profit from fetal tissue, saying any money received covers the procedure's cost.

UNIDENTIFIED FEMALE: The politicians have not wasted one minute trying to go from finding the facts to turning things into a political circus.

FRATES: Abortion opponents gathered in dozens of cities Tuesday calling on Congress to defund the group. The rally in front of the U.S. capitol drew three Republican presidential contenders.

TED CRUZ (R), PRESIDENTIAL CANDIDATE: Today, the U.S. Department of Justice should open a criminal investigation into all of those individuals.

DR. BEN CARSON (R), PRESIDENTIAL CANDIDATE: Are we going to become a culture of life or a culture of death?

RAND PAUL (R), PRESIDENTIAL CANDIDATE: Today, I have good news. The Senate will vote on defunding Planned Parenthood before we go home in August.

(END VIDEOTAPE)

FRATES: In the conference call with reporters on Tuesday, a Planned Parenthood executive said the video was put out by militant anti- abortion extremists who selectedly edited the video -- John.

BERMAN: Chris Frates, thanks so much.

Planned Parenthood is responding to the video in a statement saying, "Based on a two-minute edited excerpt from a lengthy conversation, false and baseless accusations are being promulgated again about medical providers. The opportunity to donate fetal tissue has been a source of comfort for many women who have chosen to donate."

Let's take a look what is coming up on "NEW DAY." Michaela Pereira joins us now.

MICHAELA PEREIRA, CNN ANCHOR: I like the way you ask that because you know you're joining us here, right? So you want me to tell you what we are going to be covering?

BERMAN: I want plausible deniability.

PEREIRA: OK, we do have a very busy show today. We are talking once again about Donald Trump. This is from his past coming back to haunt him as he climbs in the polls.

"The New York Times" is reporting about a deposition in which he calls a lawyer who needs to leave the courtroom to use a breast pump, he calls her disgusting. We are going to speak with that very attorney about this alleged incident.

Does she think Donald Trump can be presidential? Of course, we are going to talk a little bit more about Donald Trump and all of this drama surrounding him. We are going to speak with Rudy Giuliani about all of that.

And also John, I know you've heard this, the NFL upholding Tom Brady's four-game suspension over deflate-gate. Could Brady still appeal and get back on the field sooner, or is it time to move on? I could ask you your opinion, Mr. Berman, but I think we will leave it to the legal experts. How about that?

BERMAN: We will to wait until "NEW DAY." How is that for a tease?

A Minnesota dentist wanted in the killing of a beloved lion in safari in Zimbabwe. He is now speaking out. That is next.

(COMMERCIAL BREAK)

[05:52:09]

BERMAN: New this morning, authorities in Zimbabwe say a Minnesota dentist is responsible for killing one of that country's most beloved lions. Walter James Palmer of Eden Prairie in Minnesota is expected to face poaching charges.

A task force in Zimbabwe said he paid at least $50,000 to track and kill Cecil, a protected lion who is being tracked by researchers at Oxford University. Look at that beautiful black mane.

Let's bring in CNN's David McKenzie live from Lions Rock, South Africa. Good morning, David.

DAVID MCKENZIE, CNN CORRESPONDENT: Good morning, John. Yes, this has caused outrage around the world as news has come out that this dentist, according to authorities, Dr. Walter Palmer from Minnesota, was, in fact, responsible for killing this iconic lion.

Now according to authorities, they baited the lion and pulled it out of a national park in Zimbabwe and shot it with a bow, but the lion wasn't killed. Then they tracked it for 40 hours and then shot it with a gun.

Now he is wanting -- wanted around illegal hunting in that area and unclear what the legality is at this point, but he is blaming, in fact, the professional hunters.

In a statement he said, "To my knowledge, everything about this trip was legal and properly handled and conducted. I had no idea the lion I took was a known local favorite was part of a study until the end of the hunt. I relied on expertise of my local professional hunters" -- John.

BERMAN: All right, David McKenzie for us in South Africa. Again, so many people look at this lion and think what a loss. David, thanks so much.

So parents, did your kid bomb the SATs? Why that might not be a problem anymore. That's next. (COMMERCIAL BREAK)

KOSIK: Let's get an EARLY START on your money. I'm Alison Kosik. A lot of green arrows, U.S. stock futures are up right now. Yesterday the Dow jumped 190 points and shaking off a five-day losing streak.

One stock breaking that trend, however, is Twitter. Shares are down 12 percent before the bell after some straight talk from founder and interim CEO, Jack Dorsey. Dorsey says Twitter needs an overhaul to make it easier to use and that will take time.

Are you a Windows 7 or 8 user? Guess what? Your PC is getting an upgrade today and by many accounts, Windows 10 is awesome. It took time for Microsoft to get Windows 10 just right. It asked for feedback and made dozens of changes.

And the results is an operating system that is familiar to anyone who has used windows before with a more modern design and streamline notifications and also an improved personal assistant. Plus the upgrade is free. Windows expects one billion devices to run on the new operating system in the next few years.

All right, Parents, did your child bomb the SAT? It doesn't matter if they are applying to George Washington University. The college became one of the largest and most prestigious to make standardized test scores optional.

Instead students can lean on their high school record and their GPAs. This is a part of a growing trend with 40 schools adopting these test optional policies.

The search intensifying for two teens missing at sea, "NEW DAY" starts now.

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE: The search continues for two Florida teenagers lost at sea.

UNIDENTIFIED MALE: It is always a possibility that these kids are still alive.

UNIDENTIFIED MALE: As time passes the possibility of finding them decreases.

UNIDENTIFIED MALE: She was swept off her feet and when she realized who she was dealing with, everything changed.

UNIDENTIFIED MALE: Are you pleading guilty because you are, in fact, guilty?

BERMAN: Donald Trump on the record about an aide's controversial comments.

TRUMP: You have to understand, Michael was extreme angry.

UNIDENTIFIED MALE: Is Tom Brady a cheater?

UNIDENTIFIED MALE: The four-game suspension for NFL superstar, Tom Brady still stands.

UNIDENTIFIED MALE: This is totally incriminating. It's a fairy tale that he destroyed this phone.

TOM BRADY: I have no knowledge of anything.

(END VIDEOTAPE)

ALISYN CAMEROTA, CNN ANCHOR: Good morning, everyone. Welcome to your NEW DAY. It is Wednesday, July 29, 6:00 in the east. Chris is on assignment today and John Berman is here with us. Great to have you.

So the search for those two teenage boys lost at sea is expanding from Florida all the way now to South Carolina. Rescuers are holding on to hope that Perry Cohen and Austin Sefanos are alive. They were last seen Friday afternoon refueling their boat, but on Sunday, it was found capsized.

PEREIRA: The Coast Guard will resume the search as soon as the sun comes up this morning. It truly now is a race against time. Officials say it's only possible to survive in those waters up to five days.

CNN's Alina Machado is live in Jupiter, Florida with the very latest for us this morning -- Alina.